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Monday Papers: Big five US banks hurt by China and oil

And the sterling corporate bond market, excluding financials, has failed to open this year amid Brexit fears.

Monday Papers: Big five US banks hurt by China and oil

Top stories

  • Financial Times: Wall Street banks are poised to unveil another batch of lacklustre profits after the run-up to the Federal Reserve’s historic interest rate rise failed to boost their crucial trading businesses.
  • Financial Times: The sterling corporate bond market, excluding financials, has failed to open this year amid worries that the looming Brexit vote has hit confidence.
  • The Daily Telegraph: Japanese beverage maker Asahi is planning to wade into the bidding for Grolsch and Peroni, with a £2.4 billion bid for the popular European beer brands, the Tokyo-based Yomiuri Shimbu newspaper has reported.
  • The Guardian: Britain’s biggest supermarkets will reveal a slide in Christmas sales this week, underlining the pressure placed on the industry by changing shopping habits and the growth of discounters Aldi and Lidl.
  • The Daily Telegraph: World stock markets are expected to struggle to bounce back from last week’s severe sell-off amid a “tsunami of negative psychology being driven by China”, one Wall Street analyst has warned.
  • Financial Times: German chancellor Angela Merkel is facing increasing pressure at home after her justice minister warned that attackers identified as migrants in Cologne on New Year’s Eve were members of an organised crime network.
  • Financial Times: Apple has passed 10 million subscribers for its music streaming service, taking six months to hit a milestone that took its arch-rival Spotify six years to hit, say people familiar with the matter.
  • Financial Times: Global investors are planning to cut their exposure to hedge funds in 2016 following a disappointing performance in the past year, according to a survey.
  • Financial Times: David Cameron is confident he can reach a deal on the UK’s terms of membership in the EU next month, paving the way for a vote this summer on whether Britain will sever its four-decade relationship with the bloc.

Business and economics

  • Financial Times: The prospect of listing Saudi Aramco, the world’s biggest oil company, or some subsidiaries, would be fraught with complexity, including how the kingdom ceded control of even a sliver of an entity so bound up with the national interest.
  • Financial Times: Ardian, the French alternative asset manager, has raised the largest ever European infrastructure fund with backing from US investors fleeing rising distress in North American energy assets.
  • The Guardian: The number of first-time buyers in the UK housing market has fallen for the first time in four years, with the typical deposit required to buy a property now above £30,000.
  • The Guardian: The pressure is building on Burberry boss Christopher Bailey, one of the best-paid bosses in Britain, with hedge funds betting hundreds of millions of pounds on the luxury brand enduring a difficult year.
  • Financial Times: Nine out of 10 small London-listed oil and gas companies are making losses, according to new data highlighting the full impact of the plunging crude price on junior energy groups.
  • Financial Times: Corporate Japan could face an exodus of scientific talent as companies push for a more rigid contract with employees under the country’s intellectual property laws, one of the nation’s leading inventors has warned.
  • The Daily Telegraph: British taxi-hailing app Hailo, backed by star investors including Richard Branson, made an £11.76 million loss in 2014 thanks to the closure of its North American operations in October 2014.
  • Financial Times: Volkswagen has devised a new catalytic converter that could fix the majority of the cars in the US affected by the diesel emissions scandal, as details emerge of its attempts to satisfy regulators.
  • Financial Times: Amber Capital, an activist hedge fund, is pressing for a corporate governance upheaval at Grupo Prisa, the owner of Spain’s El País newspaper, ahead of the company’s board being put up for renewal.
  • Financial Times: Hedge fund manager Steven Cohen is the latest victor in a sprawling US government probe of insider trading that once stoked fear on Wall Street but has largely unravelled over the past year.
  • The Daily Telegraph: Virtual reality technology is finally due for a breakthrough year in 2016, with sales tipped to reach $1 billion (£700 million) for the first time, research from Deloitte claims.
  • Daily Mail: Investors are facing another week of turmoil on global stock markets after the worst ever start to the year for the FTSE 100 index.
  • The Daily Telegraph: British mobile customers could be left without signal and face higher phone bills if the Government fails to prevent landowners from charging huge rents on mobile masts, according to operators.
  • Financial Times: Balfour Beatty has agreed to begin preliminary work on a planned 53-storey residential tower in London, putting it on course to clinch a £150 million deal to build the skyscraper.
  • Financial Times: Blackstone’s Indian operations have turned a corner according to the world’s largest manager of private investments, which plans to match this year the record $1.1 billion it invested into the country during 2015.
  • The Independent: The fashion and lifestyle retailer Joules, best known for selling quirky wellington boots to well-off women, has pulled off a storming Christmas despite the poor weather hitting other high- street clothes chains.

Share tips, comment and bids

  • Financial Times: PGGM, one of the largest Dutch pension fund managers, will on Monday complete a €2.3 billion trade to insure loans of Santander, the Spanish bank, in a deal that highlights the growing appeal of exotic financial instruments in a world of ultra-low interest rates.
  • Financial Times: Coima Res and De Agostini Group’s Idea Res, two Italian real estate investment trusts are planning initial public offerings in coming weeks in a test of investor appetite for the country’s recovering commercial property sector.
  • The Guardian (Comment): Deja vu for Australian economy as China woes portend another bad year.
  • Financial Times (Lex): American Express: the upmarket card provider is having to broaden its appeal as competition grows.

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