Browsing all articles tagged with Deutsche Bank

Banks In The Dark Over $15 Billion of Promised Rosneft M&A business

Banks that assist Russian oil company Rosneft finance its $55 billion buyout of rival have been left waiting for their payback a share in $15 billion in asset sales projected to follow the deal.

State oil company Rosneft’s takeover of this year aimed to generate a major oil group producing more oil than however it also tightened the Russian government’s grip on the country’s energy sector.

The asset sales promised by Rosneft Chief Executive Igor Sechin would offload less-profitable businesses to turn the company into the major oil player the CEO has stated he wants it to be. The delay demonstrate Rosneft has a lot on its plate integrating and that the sales are on the back burner.

Rosneft had dangled the juicy divestment mandates at the banks in exchange for a $29.8 billion loan the largest in Russia’s history on good terms, all the lending banks are waiting. We thought asset sales and refinancing bonds would kick start straight following the closing.

Rosneft’s slow motion is annoying the banks as they would earn fat fees from advising the oil giant on the asset sales this year, which would assist boost M&A revenues in an otherwise arid deal making landscape.

M&A activity across all sectors is losing 7 percent in Europe, Africa and Middle East since January partly due to the impact of the euro zone crisis on business confidence.

Banks that uphold big balance sheets throughout the financial crisis have been hoping to use this muscle to win lucrative M&A advisory business from competitor which had to shrink partly to meet tough European capital rules.

Banks frequently use their balance sheets to offer cheap loans to corporate clients to secure higher margin business such as share or bond issues or M&A work.

Big balance sheets helped Deutsche Bank and Barclays to achieve number 2 and 3 rankings in M&A league tables previous year, challenging US rival Goldman Sachs which had the top slot.


Gold Added on Japan Policy, Firm Equities May Weigh

Gold climbed up on Wednesday because Japan’s aggressive monetary easing policy enhanced bullion’s appeal as a hedge against inflation, while gains may be capped as stronger equities lure buyers seeking superior returns.

Brian Lan, managing director of GoldSilver Central Pte Ltd said that what the Fed really releases in the minutes tonight will influence the direction of gold. Yellow metal needs to test $1,600 before we see it trading in a higher band. If it does not there might still be a downside risk.

Investors are shifting their focus to minutes from the previous US Federal Reserve monetary policy conference for insight on the Fed’s bullion friendly bond buying programme, which sent prices to an 11 month high in October previous year.

It has fall about 5 percent so far this year, following posting annual additions in the past 12 years.

Investors will be looking out for any reveal of quantitative easing. The decision on whether the Fed will continue to print money, limit the print or slowly ease it out will definitely drive gold’s prices.

Precious metal had gained $2.14 per ounce to $1,586.84 by 0610 GMT, following hitting $1,590 on Tuesday, its highest since April 2.

Gold futures on Tokyo Commodity Exchange moved towards a ever high at 5,081 per ounce yen a gram strike in February as of a weak yen, however the climb in TOCOM failed to spur more additions in cash gold.

The addition in Tokyo gold futures weighed on yellow metal bars offered to investors. Precious metal were at discounts of 75 cents to spot London prices in Tokyo, against premiums of 50 cents previous week.

South Korea said it has invite China, North Korea’s only major supporter, to restraint the hermit state and has raised its surveillance following the North moved at least one long-range missile in readiness for a possible launch.

Gold future for June delivery were losing 90 cents, or 0.1%, in Asian trading hours to $1,585.80 per ounce. US gold for June delivery were stable at $1,587.00 per ounce.


Precious Gold Edges up from Several month low

Yellow metal futures climbed during Asia trading session on Monday, stirring off a several month low reached in the last session, as investors dipped a toe back into the shabby market for the precious gold.

Bullion bounce back from a six month low on Monday as negotiate hunters resurfaced, and dealers expected buying from jewellers in Asia to pick up as markets reopen in China following the Lunar New Year holiday.

Commodity strategists at Deutsche Bank, as a supposed safe haven appeal, precious metal has been penalized since the end of previous year, partly on a additional upbeat view of world growth.

Commodity strategists said, yet they believe that there remains support for yellow metal at $1,600 per ounce. Still they believe that on a 12 month time frame, both silver and yellow metal appear to offer forceful value.

Precious gold increased $6.05 per ounce to $1,615.11 by 0034 GMT following diminishing to around $1,598 on Friday, its lowest since August, on a increasing technical selling and US dollar. It marked precious metal’s biggest one day drop since December.

US gold future for April delivery was at $1,615.20 per ounce, climb $5.70. Hedge funds and several big speculators cut their bullish bets on US commodities, taking aim principally at yellow metal which has lost some of its shine this year, trade statistics released on Friday demonstrate.

A raft of business surveys this week will be examine over for confirmation of exceptions that a dire fourth quarter of 2012 marked the cyclical channel for the world economy.

Western officials said on Friday that foremost powers plan to offer to ease permit barring trade in precious metal and other metals with Iran in arrival for Iranian steps to shut down the nation’s newly expanded Fordow uranium enrichment plant.