North America

Though Bank of America remains by far the most fined bank in history, in the second quarter results for the US banks, it was Goldman that felt the heat, sucking up a $1.45bn provision for mortgage litigation and regulatory matters.

US and Yankee banks took home more than $15bn this week as they raced to wrap up funding plans amid improving market conditions.

Chinese wealth management service provider Jupai Holdings priced its $53m IPO on the New York Stock Exchange at the bottom end of guidance on July 16, as its selling shareholders reined in the number of secondary shares on offer.

Bank of Nova Scotia, the third Canadian institution to issue a covered bond this week, took €1.25bn with its five year covered bond on Thursday. While the books were slightly slower to build than market rivals BPCE and Commerzbank, the result was still a strong one for the issuer.

New regulations restraining the risk taking ability of dealer banks contributed to last October’s sudden and mysterious selloff in US Treasury futures and options — dubbed the “Flash Crash”.

Oil market volatility was driven higher this week as traders placed bearish bets amid the prospect of more Iranian supply following its sanctions deal combined with weak fundamental data.

Royal Bank of Canada was set to price its first sterling benchmark in years at a spread that is expected to lead to a re-pricing of the market, but which is close to where it would have funded in dollars. Meanwhile, CIBC will open books for its first dollar deal in four years and the first from its legally compliant programme in that currency.

US speciality chemical products holding company Platform will buy UK firm Alent for £1.35bn using a $1.9bn bridge loan from Credit Suisse.

The Greek Prime Minister’s decision to provide voters with an opportunity to reject the country’s bailout conditions in a referendum is an unusual move, but not without precedent.

In this round-up, Singapore deposits fell in the first quarter this year, Taiwan RMB deposits rose to a new record, Bank of China joined the new gold benchmark, and the first overseas inverse ETF shorting A-shares entered the market.

With the euro-market all but shut for covered bond issuers, Nordic issuers may look to the US market as an alternative, say US bankers.

Royal Bank of Canada incurred the wrath of the market on Wednesday when it issued a €1bn deal from a €750m book. The spread, which offered an insufficient concession to Toronto Dominion’s earlier deal this week, widened by 4bp and caused the market to widen 2bp. At the same time Bunds fell sharply, suggesting the seven year may no longer be the market’s sweet spot.