Halister News

(Bloomberg) -- U.K. regulator says it resumes probe into misconduct at the bank’s Impaired Assets team in Reading, England.

• The probe was put on hold pending the outcome of criminal case
• FCA says it is focusing on how much HBOS know about activities and communication with regulators
• SEE: Ex-HBOS Banker Gets 11 Years in Jail After Selling Soul for Sex Link

Link to Statement:Link

(Bloomberg) -- Here’s a roundup of Indian co. debt-rating changes.

• To get this story sent to your inbox real-time, run NI INRATINGS , click on Display & Edit, then Set Alert Delivery

DOWNGRADES

• Ashok Alco-Chem
  • Long-term fund-based limits cut to BB+ from BBB- at ICRA
  • Cites weakened operating performance due to significant decline in operating income, profitability

• EMCO
  • LT fund-based bank facilities cut to D from B at Care
  • Cites ongoing delays in debt servicing due to weakening of liquidity profile

• Nijanand Pipes
  • Fund-based limits cut to C from B- at ICRA
  • Cites decline in operating income

UPGRADES

• Ricasil Ceramic
  • Cash credit limits raised to BBB- from BB+ at ICRA
  • Cites healthy ramp up of revenues after successful commissioning of new plant

• Stic-On Papers
  • LT fund-based limits raised to BB- from B+ at ICRA
  • Cites increase in order book size

(Bloomberg) -- Treasury 10-year yield may drop to as low as 1.85% depending on Russia’s response to the U.S. strike on Syria and on any signs of further actions from the U.S., says Sean Keane, an Auckland-based analyst at Triple T Consulting.

• 10-year Treasury yield is now exploring support around 2.30% that goes back to last November
  • If the yield falls below 2.28%, technical stops will be triggered and the market will target 2.20% and potentially 1.85% as that was the level where the Trump trade started
• Whether such a move occurs depends partly on Russia’s response to the U.S. strike, and on any sign from the U.S. that further action might be forthcoming
• Market is holding at current levels ahead of the European open because at this stage the U.S. is indicating it’s a single, proportional response while Russia is silent
• Strike will probably force China President Xi to abandon the view that Trump is a determined isolationist
  • The Chinese will have to consider Trump’s demands for immediate action on North Korea much more seriously
• NOTE: 10-year Treasury yield fell as much as 5bps to 2.287%, lowest since Nov. 22

(Bloomberg) -- “Clear risk” for 10-year Treasury yields and USD/JPY to trade lower as they’re close to breaking the lower band of their ranges, says Rodrigo Catril, a currency strategist at National Australia Bank Ltd. in Sydney.

• Heightened risk aversion would also be negative for AUD
• Markets will get a better sense on the next step from the U.S. when President Trump speaks and Russia’s response will also be important, Catril says
• USD/JPY drops 0.5% to 110.23; hit 110.18 session low
• 10-year Treasury yield fell as much as 5bps to 2.287%, lowest since Nov. 22
• NOTE: Trump Says U.S. Strike on Syria in Response to Chemical Attack
• NOTE: U.S. Launches Missile Strike on Syria in Response to Gas Attack

--DEREK WALLBANK