Europe

Fines of up to €11.2bn could be on the way for European carmakers due to emissions regulations, according to a report by Moody’s. And the debt markets are not impressed by additional gloom the new rules give the embattled auto industry.

Royal Bank of Canada has wrought havoc with the traditional pecking order for Canadian financial institutions in the credit markets, beating a better-rated peer for spread amid a string of recent senior issuance out of the country in euros. Market participants took the stunning developments this week as clear proof for a long-standing belief: green funding is simply cheaper. Tyler Davies reports.

After pushing out its yield curve to 30 years this week, Cyprus is keeping an eye open for issuing even longer maturities, according to an official at the country's Public Debt Management Office (PDMO).

The heads of two of the world’s leading global financial regulators have hailed the potential of financial technology to help lift people out of poverty by connecting them to the banking system. But both Agustín Carstens, General Manager of the Bank for International Settlements, and Christine Lagarde, the managing director of the International Monetary Fund, warned of potential risks.

The US real estate investment trust Reality Income is planning a £300m bond sale to part finance its acquisition of 12 properties in the UK linked to grocer J Sainsbury’s.

UBS investment bank’s profit before tax fell by more than half in the first quarter of 2018, with year-on-year declines in almost all divisions, the Swiss institution revealed on Thursday.

Turkey’s central bank on Thursday kept its policy rate at 24% and removed a commitment to tighten monetary conditions further if needed. The announcement disappointed investors, and is expected to intensify the sell-off in the lira.

The US decision not to renew sanction waivers for Iran’s remaining export markets has boosted the price of oil and opened a window for oil and gas capital markets activity, write Sam Kerr and Mike Turner.

Ukraine might be angling for an opportunity to issue a Eurobond, but with a new president-elect unsettling capital markets and IMF relations best described as frosty, investors would rather the sovereign held off.

Région Wallonne almost wiped out its total funding needs for the year with its first set of benchmark and sustainable bonds on Thursday.

Syndicate bankers are expecting Kangaroo issuance to wane as the Japanese market shuts down this weekend for an extended holiday and Australia’s inflation outlook worsens.

Patience is a virtue for anyone looking to challenge decisions made during a bank resolution.