Global markets wait to find out if the Federal Reserve will embark on further stimulus, while Naoto Kan resigns as prime minister of Japan.
Traders show caution as they await a speech by Ben Bernanke, the chairman of the Federal Reserve, from the Jackson Hole central bankers’ summit, according to the Financial Times.
Standard & Poor’s denies that recent market volatility was caused by its decision to pull the US’ top AAA sovereign credit rating, says Bloomberg.
JP Morgan agrees to pay £54.2m to avoid liability for “apparent violations” of sanctions against countries including Cuba and Iran, the BBC reports.
Wall Street banks could sell up to $5 billion of securities tied to commercial mortgages in the coming two months, an analyst tells the Washington Post.
More analysts have followed Morgan Stanley in cutting their global growth predictions for 2011 after hopes that the US will embark on more stimulus start to falter, according to the Telegraph.
Naoto Kan, the prime minister of Japan, announces his resignation after heavy criticism of his handling of the March 11 earthquake and tsunami, Bloomberg says.