(Bloomberg) -- Extremely loose monetary policy will be required for a long time to support growing debt levels worldwide, buoying liquidity along with global equity and bond prices, according to JPMorgan Chase & Co.“More debt, more liquidity, more asset reflation,” was the conclusion strategists including Nikolaos Panigirtzoglou, who forecast a $16 trillion increase in worldwide debt this year that would push the combination of private and public sector borrowing to a record high $200 trillion by year-end.That will lead to higher savings rates, very accommodative central bank policies and more cash in the system -- the bulk of which may find its way into the global stock market, they wrote in a note Friday.“Elevated cash holdings create a strong background support for non-cash assets such as bonds and equities,” the strategists wrote. Given the current low level of bond yields, “most of this liquidity will eventually be deployed into equities as...
Jul.05 -- Tokyo Governor Yuriko Koike has scored a landslide victory in her re-election bid as the city tries to keep a fresh virus surge in check. Koike, the first woman to govern the 14 million strong city, is set to win about 60% of the vote, beating her nearest rival by 40 percentage points. Bloomberg’s Isabel Reynolds reports on “Bloomberg Daybreak: Asia.”...
Jul.05 -- Australia’s Finance Minister Mathias Cormann says he will step down at the end of the year. Paul Allen reports on "Bloomberg Daybreak: Australia."...
(Bloomberg) -- Warren Buffett finally found his next crisis-era deal.His Berkshire Hathaway Inc., which has stayed relatively quiet during the tumult of the coronavirus pandemic, broke its silence at the end of a holiday weekend with its biggest acquisition in more than four years. The agreement for Dominion Energy Inc.’s natural gas pipeline and storage assets signaled to the market that Buffett is willing to pounce despite his cautious tone in May about the pandemic, according to David Kass, a professor of finance at the University of Maryland’s Robert H. Smith School of Business.“He’s willing to make investments now, of a fairly sizable amount,” Kass said. “It’s very positive that he’s sending a signal for the right deal at the right price, $10 billion or more, ‘We’re ready to go, we’re ready to invest.’”Buffett, who has crafted Berkshire into a conglomerate valued at $434 billion, built his reputation as an investor...
Jul.05 -- Israeli Prime Minister Benjamin Netanyahu says the country is "at the height" of a new coronavirus offensive. There are currently 29,366 confirmed cases in Israel, including 330 fatalities, with as many as 1,100 new cases reported daily in the past week. He spoke at a press briefing Sunday in Jerusalem. (Translated excerpt)...
(Bloomberg) -- Warren Buffett finally found his next crisis-era deal.His Berkshire Hathaway Inc., which has stayed relatively quiet during the tumult of the coronavirus pandemic, broke its silence at the end of a holiday weekend with its biggest acquisition in more than four years. The agreement for Dominion Energy Inc.’s natural gas pipeline and storage assets signaled to the market that Buffett is willing to pounce despite his cautious tone in May about the pandemic, according to David Kass, a professor of finance at the University of Maryland’s Robert H. Smith School of Business.“He’s willing to make investments now, of a fairly sizable amount,” Kass said. “It’s very positive that he’s sending a signal for the right deal at the right price, $10 billion or more, ‘We’re ready to go, we’re ready to invest.’”Buffett, who has crafted Berkshire into a conglomerate valued at $434 billion, built his reputation as an investor...
