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Barclays PLC (BCS)

- NYSE
  • Fri, Feb. 27, 2:27 AM
    • The NY Department of Financial Services' probe of Barclays' (NYSE:BCS) forex business is holding up a £1B settlement of currency rate-rigging allegations that other U.S. and U.K. authorities are close to resolving, FT reports.
    • In November, six banks were fined more than $4B over allegations of price fixing and manipulating benchmarks in the forex market, although Barclays pulled out last minute because the DFS was not involved.
    | Comment!
  • Tue, Feb. 24, 1:56 AM
    • U.S. officials are probing at least 10 major banks for the possible rigging of precious-metals markets, even though European regulators shelved a similar investigation after finding no evidence of wrongdoing, WSJ reports.
    • The DOJ is scrutinizing the price-setting process for gold, silver, platinum and palladium in London, while the Commodity Futures Trading Commission has opened a civil investigation.
    • Banks under scrutiny: HSBC, BNS, BCS, CS, DB, GS, JPM, OTCPK:SCGLY, OTCPK:SGBLY, UBS
    | 5 Comments
  • Fri, Feb. 20, 4:48 AM
    • Squeezed by new capital and risk rules and tough markets, Wall Street is taking the ax to its workforce, a report by London research firm Coalition shows.
    • The number of investment bankers, traders, salespeople and research analysts at the world’s largest banks has fallen 20% globally since its recent peak in 2010.
    • While job cuts on the front end have become standard, firms have been increasing their back-office hiring to beef up controls in areas ranging from compliance to risk.
    • Related tickers: BAC, BCS, OTCQX:BNPQY, C, CS, DB, GS, JPM, MS, UBS
    | 15 Comments
  • Fri, Feb. 13, 4:32 PM
    • Fresh off news that its agreement with Costco (NASDAQ:COST) is coming to an end, American Express (NYSE:AXP) is also splitting with JetBlue (NASDAQ:JBLU) as the airline has reportedly reached a new credit-card deal with Barclays (NYSE:BCS) and MasterCard (NYSE:MA).
    • The change ends a credit-card partnership that started in 2005. AXP's pact with Costco has lasted 16 years.
    • Airline deals are generally desirable for card issuers as annual fees are more likely and travel awards can spur spneding.
    • After hours, AXP down just 0.1%; MA +0.1%; BCS +0.2%.
    • Previously: Analysts weigh in on American Express after Costco loss (Feb. 13 2015)
    | 12 Comments
  • Tue, Feb. 10, 2:56 AM
    • In the final stages of a long-running investigation, the U.S. Department of Justice has recently informed Barclays (NYSE:BCS), JPMorgan (NYSE:JPM), the Royal Bank of Scotland (NYSE:RBS) and Citigroup (NYSE:C) that they must plead guilty to criminal charges that they manipulated the prices of foreign currencies, NYT reports.
    • Last November, regulators fined five major banks a total of $3.4B for failing to stop traders from trying to manipulate the foreign exchange market, following a year-long global investigation.
    • In a separate forex probe disclosed today, the NY Department of Financial Services sent subpoenas to several other banks, expanding its investigation of whether the banks' electronic trading platforms allowed them to front-run clients in the forex market.
    • Previously: FT: Forex trading probe widens (Feb. 09 2015)
    | 8 Comments
  • Tue, Feb. 10, 1:54 AM
    • The NY Department of Financial Services has sent subpoenas to Goldman Sachs (NYSE:GS), Credit Suisse (NYSE:CS), BNP Paribas (BNZPY) and Societe General (OTCPK:SCGLY), Reuters reports, expanding its probe of whether banks' electronic trading platforms allow them to front-run clients in the forex market.
    • At issue is a latency period between the time an offer is floated and accepted.
    • The department is already probing Barclays (NYSE:BCS) and Deutsche Bank (NYSE:DB) over similar concerns and installed monitors at those banks in recent months.
    | 3 Comments
  • Mon, Feb. 9, 1:48 AM
    • The U.S. Department of Justice is investigating whether Barclays (NYSE:BCS) and UBS (NYSE:OUBS) sold structured products without disclosing the profit they were making from currency trades used to generate the products' returns, FT reports.
    • Five major banks, including UBS, were fined $3.4B in November to settle forex allegations, although the DOJ was not one of the agencies involved in the deal. Barclays also did not take part in the earlier settlement.
    | 3 Comments
  • Tue, Feb. 3, 2:52 PM
    • "Barclays' (BCS +6.2%) non-core division looks to be mis-priced," says the Morgan Stanley team of Chris Manners and Fiona Simpson, upgrading the stock to Overweight from Equal Weight. The two say the bank's non-core unit has lower NPL exposures and lower risk weight density than peers, and thus a lower scope for losses than is being priced in.
    • "Capital concerns should fade as non-core capital is released and legacy conduct issues are resolved. We think a ‘steady state’ 13% CET1 ratio is almost in sight, and forecast CET1 of 13.2% by Dec 2017."
    • As for the core bank, the due say its has two strong businesses with clear growth opportunities. The investment bank, however, "is highly capital consumptive and delivering subpar returns, and we expect management to continue to strictly ration capital to the division."
    | 1 Comment
  • Tue, Feb. 3, 1:20 PM
    • The EU last year put into place a new bank-resolution law which would force losses on bondholders - 8% of a failing bank's liabilities would have to be wiped out before a bailout could be discussed.
    • Without the systemic support, S&P cuts ratings on Credit Suisse (CS +1.9%), HSBC (HSBC +1.5%), Barclays (BCS +6.2%), Lloyds (LYG +3.6%), RBS (RBS +3.6%), and Standard Chartered (OTCPK:SCBFF +2.4%).
    • Among those on watch for a cut, says S&P, is Deutshce Bank (DB +3.5%).
    | 3 Comments
  • Thu, Jan. 22, 2:00 AM
    • The Barclays (NYSE:BCS) dark pool drama continues, after NY AG Eric Schneiderman accused the British bank of defying subpoenas seeking the testimony of two executives.
    • Previously, the AG accused the bank of false representation and favoring high frequency traders over other investors in its dark pool.
    • Barclays says Schneiderman is overreaching, but it will "continue to seek to cooperate" with the lawsuit.
    • Previously: Schneiderman rebuts Barclays motion to dismiss dark pool lawsuit (Sep. 17 2014)
    • Previously: Barclays begins dark pool probe (Jun. 27 2014)
    | 1 Comment
  • Tue, Jan. 20, 9:16 AM
    | Comment!
  • Fri, Jan. 16, 9:46 AM
    • The sharp rise in the Swiss franc yesterday triggered about $150M in losses at Deutsche Bank (DB +0.1%), reports the WSJ, and Barclays (BCS -0.9%) suffered tens of millions of losses, a black eye, but not enough to materially impact overall bank results.
    | Comment!
  • Mon, Jan. 12, 8:43 AM
    • The collapse in oil prices is set to crimp one of the few fast growth areas for banks since the financial crisis - lending to the energy industry. Right now, we're just talking about a slowdown in lending, but Charles Peabody - who saw the losses incurred by Texas banks during the 1980s energy slump - expects the current situation to lead to losses as well.
    • "It’s been a hot industry, probably a little too hot,” says Cullen/Frost (NYSE:CFR) CEO Dick Evans, whose bank has a sizable energy business. “But it is not time to panic. We have been in the game a long time. I am comfortable with what we have been doing.”
    • The flip side of energy issues might be stronger business for banks elsewhere as consumers find themselves with more money in their pockets after filling up.
    • Among the more sizable banks, Scotiabank (NYSE:BNS) leads the way with 34.6% of its investment banking revenue coming from energy companies. Next is RBC (NYSE:RY), with 20.2%, and then Wells Fargo (NYSE:WFC) with 14.9% and Citigroup (NYSE:C) with 11.8%. Others include Barclays (NYSE:BCS) with 10.7%, Credit Suisse (NYSE:CS) with 8.1%, and Bank of America (NYSE:BAC) with 7.4%.
    | 20 Comments
  • Dec. 11, 2014, 6:50 AM
    • The New York's Department of Financial Services is investigating Deutsche Bank (NYSE:DB) and Barclays (NYSE:BCS) over algorithms they used on their trading platforms which may have manipulated foreign exchange rates.
    • Ben Lawsky has ordered a monitor to be installed at Deutsche Bank and already has one in place at Barclays.
    • The two banks were not included in the $3.4B forex settlement in November, leaving some to speculate that Lawsky wished to go after the banks later and demand larger penalties.
    • Previously: New York bank regulator reportedly opens currency trading probe (Feb. 05 2014)
    | Comment!
  • Nov. 27, 2014, 10:08 AM
    • Upgrades Barclays (NYSE:BCS) to Buy from Neutral.
    • Price target rises 10% to 300p (26% upside)
    • BOE's “more benign” leverage ratio means BCS is less likely to need additional capital, and will be under less pressure to shrink low risk-weight positions.
    • Barclays has the lowest leverage ratio of major U.K. lenders, and was considered most at risk from the BOE’s decision.
    | 2 Comments
  • Nov. 26, 2014, 6:32 PM
    • Believing the bank will benefit from less demanding leverage ratio requirements, Goldman has upgraded Barclays (NYSE:BCS) to Buy.
    • Meanwhile, HSBC has been downgraded to Neutral on concerns about rising costs - the firm's costs rose 6% Y/Y in Q3.
    • BCS +1.4% AH.
    | 1 Comment
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Company Description
Barclays PLC is a financial services provider engaged in personal banking, credit cards, corporate and investment banking and wealth and investment management. It operates in Europe, the Americas, Africa and Asia.