The New York Department of Financial Services took possession of New York-based Municipal CU and named the National Credit Union Administration the credit union's conservator. In 2017, the DFS found deficiencies in board oversight, which led to the multimillion-dollar embezzlement by its former CEO, Kam Wong. The NCUA will work to resolve issues affecting the credit union's operations while continuing normal member services.
Morgan Stanley is buying a 5.5% stake in French asset manager Tikehau Capital, the Financial Times reports. The company will invest at least €300 million in equity, along with other existing investors. The move is part of Tikehau's plan to tap North American investors and new asset classes.
Goldman Sachs Group Inc. is in talks to buy French hotel chain B&B Hotels from private equity firm PAI Partners for approximately €2 billion, sources told Bloomberg News. The investment bank is making the deal through its merchant banking division. Sources said a final decision is still pending and PAI may still decide against a deal.
Bank of America Corp. is closing all three of its Topeka, Kan., branches on Aug. 27, The Topeka Capital-Journal reports. The branches are located at 700 S.W. Topeka Blvd.; 4001 S.W. Huntoon St.; and 5325 S.W. 21st St. The bank's ATMs in the area will remain open.
In the fintech space, Chicago-based Pangea is planning to add a branded checking account option to its services, American Banker reports, citing the company's vice president of product, Shafiq Shariff. The final details of the account are still under development but it will feature a Visa Inc.-branded debit card, no monthly maintenance fees, overdraft fees or minimum balances. According to Shariff, the company has no launch date yet and will initially market the product to its core customer base that already has a checking account.
And the White House is considering Derek Kan for one of the vacant seats on the Federal Reserve Board, sources told Bloomberg. Kan is a senior adviser to U.S. Transportation Secretary Elaine Chao.
In other parts of the world
Asia Pacific: China probes ex-financial regulator; Nippon Life eyes stake in asset manager
Europe: Novo Banco posts Q1 loss; Carige given extra time to find new buyer
Middle East & Africa: UAE, Oman remain on EU tax haven blacklist; Saudi central bank fines 16 firms
Now featured on S&P Global Market Intelligence
Biggest US banks had widest CEO pay ratios in 2018: JPMorgan, Citigroup and Wells Fargo recorded the highest CEO pay ratios of 2018. Lawmakers and consumer groups have used the metric to intensify pressure on banks over their compensation policies.
United Financial Bancorp becomes Castine Capital's largest stake in Q1: Hedge fund manager Castine Capital Management boosted its financial stock investments by $30.1 million during the first quarter to $322.8 million as of March 31.
The day ahead
Early morning futures indicators pointed to a lower opening for the U.S. market.
In Asia, the Hang Seng was down 0.57% to 27,787.61. The Nikkei 225 rose 0.24% to 21,301.73.
In Europe as of midday, the FTSE 100 was down 0.74% to 7,293.91, and the Euronext 100 was down 1.13% to 1,047.06.
On the macro front
Chicago Fed National Activity Index is due out today.
Click here to read about today's financial markets, setting out the factors driving stocks, bonds and currencies around the world ahead of the New York open.
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