Ambac Financial Group announced plans to raise up to $1.5 billion in capital in an attempt to keep its crucial triple A debt rating.
The week started and finished with news of the nationalization of British troubled bank Northern Rock, ending a five-month period of uncertainty about the bank’s future. In between, results from banks caused investors ecstasy or agony.
Volatility will continue to be the name of the game in European stock markets next week, as jittery investors fear more surprises from the banking sector, analysts said on Friday.
Barclays raised the value to its 2007 writedowns to 1.6 billion pounds ($3.1 billion), but its profit was in line with expectations and the risks are under control, Barclays President Bob Diamond told CNBC Europe on Tuesday.
The fate of European stocks rests with banks next week, as big financial institutions are due to report earnings and investors will remain very nervous about the health of the sector, analysts said on Friday.
Efforts to help bail out troubled bond insurers are escalating, with one group of big banks focusing on a potential rescue of Ambac Financial Group, CNBC has learned.
Standard & Poor's fired a fresh shot across the bows of the battered European banking sector on Wednesday, cutting its outlook on five European banks to negative from stable, suggesting downgrades are more likely.
It will take at least a year to assess the impact that the fallout of the U.S. subprime crisis has on the European banking sector, but investors can bottom fish for some good opportunities, analysts said on Monday.
Without a doubt, CNBC's coverage will be comprehensive. We'll be interviewing -- among many others -- attendees such as Henry Kissinger, Cerberus Chairman John Snow, Merrill Lynch CEO John Thain, BT CEO Ben Verwaayen, Barclays President Bob Diamond and US Secretary of State Condoleezza Rice. But if time runs short and one of our anchors follows up with a question when the cameras have stoped rolling, or a reporter gets the inside word on a big deal, they'll be blogging about it here.
Stocks closed sharply higher after a rebound by the battered financial sector spread across the entire market.
European shares recovered some of Tuesday's lost ground, led by a sharp bounce on Wall Street and a turnaround in some of the defensives sectors such as food stocks that had fallen earlier in the day.
Barclays said it is on track to meet expectations for earnings growth of 4 percent and diversification had shielded it from turbulence in capital markets.
European equities are set to start weaker on Tuesday, extending the previous session's losses as markets track sharp falls on Wall Street which was hit by credit worries.
Gains in energy shares helped European equities end more than 1 percent higher on Tuesday, paring the previous session's 2 percent fall.
Stocks closed sharply lower as investors remained skittish about the housing slump's toll on the economy and potential credit losses at big financial services companies.
Several financial institutions have been telling investors that subprime losses may not be as big as feared. Yet many wonder if it's all just wishful thinking.
European shares fell over one percent on Thursday as uncertainty over subprime-related exposure hurt Royal Bank of Scotland, a stake sale took Sanofi-Aventis lower and energy groups tracked falling oil prices.
Here's what we're focusing on throughout the day: Oil took a dive after inventory data showed an unexpected build in supply. Oil was also moving lower earlier after OPEC cut its demand forecast for the fourth quarter Core CPI for October rose 0.2%, in line with expectations. Oil is lower this morning , following comments earlier this week from the IEA. Inventory data was due at 10:30 a.m.
When the market was filling in the blanks for itself Barclays fell 9 percent in a session and trading in the stock was temporarily suspended. To read the rumor the Chairman and CEO where heading out of the door.
Good and bad news this morning. Good news: CPI in line with expectations. --More relief on the subprime front. UBS said they do not expect a major write-down of subprime-related exposures.