International markets were shaken Monday. The Nikkei 225 Average finished
0.7% higher even though Japan announced it had slipped into a recession. Meanwhile, the FTS Eurofirst 300 index was down 96.40 points at 4,136.57 with financial stocks ailing.
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Bank stocks were down. Royal Bank of Scotland Group plc lost 14% on news that the bank
would not make a profit this year due to overaggressive growth through acquisitions. The bank also announced layoffs of
3,000 from its investment banking division. Standard Chartered plc fell 3.7% following weekend press reports that the bank is considering raising capital, and rumors that it has asked J.P. Morgan Chase & Co. and Cazenove Group Ltd. to consider the injection.
UBS was down 6.3% and then recovered on news that is has come up with a new executive pay plan. HSBC Holdings plc was down 3% after announcing it would cut
450 jobs in Asia. BNP Paribas SA lost 6.6% on
recession concerns.
Deutsche Bank AG fell 3.2% and then recovered after its CEO Josef Ackermann said banks globally could drop the
investment banking model. Ackermann also said the bank will not need money from the state and that it is
closely monitoring the competition that has received government aid.
- Maria Woehr
Troubled International Banks
Prices at 12:30 pm EDT |
| Name |
Open |
Price at
12:30pm |
Change |
Mkt cap |
| UBS |
11.73 |
11.96 |
0.46 |
33.93B |
| Barclays plc |
162.3 |
154.10 |
-5.00 |
12.89B |
| BNP Paribas SA |
46.255 |
43.02 |
-3.79 |
38.49B |
| Deutsche Bank |
30.36 |
31.12 |
0.42 |
16.98B |
| Royal Bank of Scotland Group plc |
13.94 |
13.95 |
-1.42 |
27.52B |
| Royal Bank of Canada |
44.25 |
43.43 |
-1.07 |
58.24B |
| HSBC Holdings plc |
710.25 |
708.75 |
-10.25 |
85.82B |
| Lloyds TSB Group |
161.4 |
149.00 |
-17.00 |
9.01B |
| Standard Chartered plc |
788 |
722.00 |
-54.50 |
10.29B |
| Toronto-Dominion Bank |
53.39 |
52.40 |
-1.17 |
42.30B |
| Mitsubishi UFJ Financial Group Inc. |
5.92 |
5.95 |
-0.05 |
65.85B |
Source: The Deal |
