A review of prior week market movers that should continue exerting influence this week
Here's a rundown of fundamental and technical forces that moved markets last week and which are likely to continue exerting influence this week.
FUNDAMENTALS
Here's a rundown o f the main fundamental market drivers from last week that should continue to exert influence into this week and beyond.
1. - 2. Central Banks
On Thursday the BoJ boosted markets and the ECB knocked them down. We expect to see the impact of these central bank moves continue to influence markets this week.
1. BOJ Feeds Short Yen, Long Japanese Stock Trade
Last week the BoJ met expectations for a bold new easing plan, about 75% the size of the Fed's, for an economy only about one-third the size of the US. Japanese and related Asian equity and other risk asset markets loved it because:
They anticipate a boost to risk asset prices similar to that seen in the US from the Fed's stimulus programs.The asset purchases at the heart of the new program are done with new printed money, and that should devalue the JPY. Unlike the US, Japan is an export-oriented economy, so there should be at least some short term jump in exports.Markets are simply ignoring the potentially huge long term risks Japan is taking. Everyone knows what they are, but for now investors are happy to take the short term trade and not worry about the future.
As we've noted repeatedly in past posts, Japan cannot remain solvent without continued low borrowing costs, yet the massive new easing threatens to send those costs to levels that could bankrupt Japan.
Wilshire Bancorp, Inc. operates as the holding company for Wilshire State Bank that offers a range of financial products and services. It accepts various deposit products that include certificates of deposit, regular savings accounts, money market accounts, checking and negotiable order of withdrawal accounts, installment savings accounts, and individual retirement accounts. The company?s loan portfolio comprises commercial real estate and home mortgage loans, commercial business lending and trade finance, and small business administration lending, as well as consumer loans, including personal loans, auto loans, and other loans. It also provides trade finance services that include issuance and negotiation of letters of credit, handling of documentary collections, advising and negotiation of commercial letters of credit, transfer and issuance of back-to-back letters of credit, and trade finance lines of credit. In addition, the company offers Internet banking services, auto matic teller machines, and armored carrier services. It has 24 full-service branch offices in Southern California, Texas, New Jersey, and the greater New York City metropolitan area; and 6 loan production offices in Colorado, Georgia, Texas, New Jersey, and Virginia. The company was founded in 1980 and is headquartered in Los Angeles, California.
Advisors' Opinion: - [By Marc Bastow]
Los-Angeles, California-based bank holding company Wilshire Bancorp (WIBC) raised its quarterly dividend 67% to 5 cents per share, payable April 15 to shareholders of record as of March 31.
WIBC Dividend Yield: 1.77%
- [By Rich Smith]
Los Angeles-based Wilshire Bancorp (NASDAQ: WIBC ) is acquiring some Korean banking customers... in New Jersey.
On Monday, Wilshire announced that it has signed a definitive agreement to acquire�New Jersey's BankAsiana, a commercial bank�with three branches serving the Korean-American community in the New York/New Jersey market, boasting total assets of $207.3 million, total net loans of $161.2 million, and total deposits of $164.6 million.
Top 10 Bank Stocks To Own Right Now: Valiant Holding AG (VAT)
Valiant Holding AG is a Switzerland-based regional bank engaged in the provision of products and services in retail banking, small and medium sized enterprises (SME) banking, private banking and asset management. The Company�� products include operating loan, investment loan, collateral loan, lease, construction loan, variable mortgage, fixed rate mortgage, flexible mortgage, savings account, time deposit account, medium-term notes, pension fund management, current account, maestro card, business card, corporate card, travel cash, payment services and e-banking services. The Company operates through a network of branches and automated teller machines (ATMs).
Advisors' Opinion: - [By Nitish]
The iPhone remains Apple's most important product by far, accounting for close to half of the company's value, according to our estimates. For this quarter, Apple shipped about 35 million iPhones, representing a 12.7% jump over the same quarter a year ago, although revenue growth was slightly lower at around 9% possibly due to a greater mix of lower-end handsets. Business remained healthy in emerging markets such as Brazil, Russia, India and China, where iPhone shipments grew by around 55% year-over-year. China turned out to be particularly strong market, with overall revenues (from all products) growing by roughly 28% year-over-year and iPhone sales growing twice as fast as the broader Chinese smartphone market. However, sales in Japan, which had been one of the iPhone's fastest growing markets in recent quarters, were impacted by an increase in value added taxes (VAT) and some changes to the regulatory environment for mobile carriers.
Top 10 Bank Stocks To Own Right Now: Bank of Hawaii Corp (BOH)
Bank of Hawaii Corporation, incorporated on February 4, 1998, is a bank holding company. The Company�� operating subsidiary is Bank of Hawaii (the Bank). The Bank provides a range of financial services and products primarily to customers in Hawaii, Guam and other Pacific Islands. The Bank's subsidiaries include Bank of Hawaii Leasing, Inc., Bankoh Investment Services, Inc. and Pacific Century Life Insurance Corporation. The Bank's subsidiaries are engaged in equipment leasing, securities brokerage, investment services and providing credit insurance. It operates in four segments: Retail Banking, Commercial Banking, Investment Services, and Treasury and Other. Its other subsidiary is the BOHC Investment Fund, LLC (the Fund). The Fund was organized to invest in and hold securities of Qualified High Technology Businesses.
Retail Banking
Retail Banking offers a range of financial products and services to consumers and small businesses. Loan and lease products include residential mortgage loans, home equity lines of credit, automobile loans and leases and installment loans. Deposit products include checking, savings, and time deposit accounts. Retail Banking also offers retail insurance products. Products and services from Retail Banking are delivered to customers through 65 Hawaii branch locations, 494 automated teller machines (ATMs) throughout Hawaii and the Pacific Islands, e-Bankoh (on-line banking service), around-the-clock customer service center, and a mobile banking service.
Commercial Banking
Commercial Banking offers products, including corporate banking, commercial real estate loans, commercial lease financing, auto dealer financing, and deposit products. Commercial lending and deposit products are offered to middle-market and large companies in Hawaii. Commercial real estate mortgages focus on customers that include investors, developers, and builders predominantly domiciled in Hawaii. Commercial Banking also includes international banking a! nd operations at the Bank's 11 branches in the Pacific Islands and also provides merchant services to its small business customers.
Investment Services
Investment Services includes private banking, trust services, investment management, and institutional investment advisory services. The private banking and personal trust group assists individuals and families in building and preserving their wealth by providing investment, credit, and trust services to high-net-worth individuals. The investment management group manages portfolios utilizing a variety of investment products. Institutional client services offer investment advice to corporations, government entities and foundations. Investment Services also provides a full service brokerage offering equities, mutual funds, life insurance, and annuity products.
Treasury and Other
Treasury consists of corporate asset and liability management activities, including interest rate risk management and a foreign exchange business. This segment's assets consist of interest-bearing deposits, investment securities, federal funds sold and purchased, government deposits, and short and long-term borrowings. The primary sources of noninterest income are from bank-owned life insurance, net gains from the sale of investment securities, and foreign exchange income related to customer driven currency requests from merchants and island visitors.
Investment Securities
The Bank�� investment securities portfolio includes debt securities issued by the United States Treasury and Government Agencies, debt securities issued by states and political sub-divisions, debt securities issued by corporations, mortgage-backed securities issued by government agencies and the United States Government-Sponsored Enterprises. As of December 31, 2012, its available-for-sale investment securities portfolio consisted of securities with an average base duration of less than three years.
Advisors' Opinion: - [By John Maxfield]
Percentages aside, the benefit of the relative health of these housing markets can be seen in the performance of smaller, regional banks like Bank of Hawaii (NYSE: BOH ) , BB&T (NYSE: BBT ) , and TD Bank (NYSE: TD ) which have large presences in Hawaii, West Virginia, and Maine, respectively. Shares of all of these banks have more than recovered since the financial crisis as a testament to this.
Top 10 Bank Stocks To Own Right Now: Julius Baer Gruppe AG (BAER)
Julius Baer Gruppe AG (the Group) is a Switzerland-based private banking group, with an exclusive focus on servicing and advising private clients and independent asset managers. The Group has a global presence with approximately 50 locations in more than 25 countries and jurisdictions. Julius Baer Gruppe AG was established through spin off from Julius Baer Holding AG�� businesses into two independent entities, namely the Company, together with its subsidiaries, comprising Bank Julius Baer & Co Ltd as its principal operating entity, and GAM Holding, together with its subsidiaries, comprising GAM and the Julius Baer-branded asset management business, which includes the private label funds business that formerly was part of Julius Baer Holding Ltd�� Bank Julius Baer segment. The Group diversifies its operations into geographical segments, including Switzerland, rest of Europe, Americas, and Asia and Other Countries.
Advisors' Opinion: - [By Corinne Gretler]
Julius Baer Group Ltd. (BAER) rallied 5.7 percent to 42.04 francs. Switzerland�� third-biggest wealth manager said increased client trading boosted margins as it integrated Merrill Lynch businesses acquired from Bank of America Corp. last year. The gross margin, which reflects how much the bank makes in revenue on managed client assets, rose to 102 basis points in the first half, from 98 basis points in the year-earlier period.
Top 10 Bank Stocks To Own Right Now: China Banking Corp (CHIB)
China Banking Corporation (CHIB) is a Philippines-based company engaged in the business as the privately owned local commercial bank in the Philippines. The Bank caters to the Chinese-Filipino commercial sector, retail and consumer segments. The Bank�� market consists of the corporate, commercial, middle and retail markets. Its businesses include deposit taking, corporate and middle market lending, retail loans including mortgage and auto loans, investment banking, insurance products through its subsidiaries, treasury and foreign exchange trading, trust and investment management, wealth management, cash management, Internet banking and mobile banking services, inward remittances through tie-ups with remittance companies and exchange houses in the Middle East, Asia and United States cities. Effective January 17, 2014 China Banking Corp acquired a 84.77% interest in Planters Development Bank.
Advisors' Opinion: - [By pamatlarge]
Investors looking to short a particular sector can choose from several Global X long ETFs. The Global X China Consumer ETF (CHIQ) concentrates its investments in consumer cyclical goods and consumer defense goods. The Global X China Energy ETF (CHIE) primarily holds stocks in coal, oil and utility companies. The Global X China Financials ETF (CHIX) only invests in financial services companies and real estate companies. The Global X China Industrials ETF (CHII) holds stocks in industrial companies and basic materials companies. The Global X China Materials ETF (CHIM) invests in basic materials stocks. The Global X China Technology ETF (CHIB) holds technology stocks as the core of its investments. All of these ETFs are particularly sensitive to sector downturns and general economic contractions.
Top 10 Bank Stocks To Own Right Now: Cullen/Frost Bankers Inc (CFR)
Cullen/Frost Bankers, Inc. (Cullen/Frost), incorporated in 1977, is a financial holding company and a bank holding company. The Company offers commercial and consumer banking services, as well as trust and investment management, mutual funds, Section 1031 property exchange services, investment banking, insurance, brokerage, leasing, asset-based lending, treasury management and item processing services. At December 31, 2011, Cullen/Frost had consolidated total assets of $20.3 billion. The Company operates in two segments: Banking and Frost Wealth Advisors. The Company serves a variety of industries including, among others, energy, manufacturing, services, construction, retail, telecommunications, healthcare, military and transportation. On January 1, 2012, the Company acquired Stone Partners, Inc., a Houston-based human resources consulting firm that specializes in compensation, benefits and outsourcing services. During the year ended December 31, 2011, the Company acquired an insurance agency in the San Antonio market area.
Cullen/Frost�� subsidiaries include The New Galveston Company, Cullen/Frost Capital Trust II (Trust II), The Frost National Bank (Frost Bank), Frost Insurance Agency, Inc., Frost Brokerage Services, Inc. (FBS), Frost Premium Finance Corporation, Frost Investment Advisors, LLC, Frost 1031 Exchange, LLC, Frost Securities, Inc. and Main Plaza Corporation. The Banking operating segment includes both commercial and consumer banking services, Frost Securities, Inc. and Frost Insurance Agency. Commercial banking services are provided to corporations and other business clients and include an array of lending and cash management products. Consumer banking services include direct lending and depository services. Frost Insurance Agency provides insurance brokerage services to individuals and businesses covering corporate and personal property and casualty products, as well as group health and life insurance products. Frost Securities, Inc. provides advisory and private equity s! ervices to middle market companies. The Frost Wealth Advisors operating segment includes fee-based services within private trust, retirement services, and financial management services, including personal wealth management and brokerage services. The parent company�� principal activities include the direct and indirect ownership of the Corporation�� banking and non-banking subsidiaries and the issuance of debt and equity.
The New Galveston Company
The New Galveston Company is a wholly owned second-tier financial holding company and bank holding company. The Company directly owns all of Cullen/Frost�� banking and non-banking subsidiaries with the exception of Cullen/Frost Capital Trust II.
Cullen/Frost Capital Trust II
Trust II is a business trust formed for the purpose of issuing trust preferred securities and lending the proceeds to Cullen/Frost. Trust II is a variable interest entity for which the Company is not the primary beneficiary.
The Frost National Bank
The Frost National Bank (Frost Bank) is primarily engaged in the business of commercial and consumer banking through approximately 115 financial centers across Texas in the Austin, Corpus Christi, Dallas, Fort Worth, Houston, Rio Grande Valley and San Antonio regions. At December 31, 2011, Frost Bank had consolidated total assets of $20.3 billion and total deposits of $16.8 billion. Frost Bank provides commercial banking services to corporations and other business clients. Loans are made for a variety of general corporate purposes, including financing for industrial and commercial properties and to a lesser extent, financing for interim construction related to industrial and commercial properties, financing for equipment, inventories and accounts receivable, and acquisition financing, as well as commercial leasing and treasury management services.
Frost Bank provides a range of consumer banking services, including checking accounts, savings progra! ms, autom! ated teller machines, overdraft facilities, installment and real estate loans, home equity loans and lines of credit, drive-in and night deposit services, safe deposit facilities, and brokerage services. Frost Bank provides international banking services to customers residing in or dealing with businesses located in Mexico. These services consist of accepting deposits, making loans, issuing letters of credit, handling foreign collections, transmitting funds, and to a limited extent, dealing in foreign exchange.
Frost Bank acts as correspondent for approximately 316 financial institutions, which are primarily banks in Texas. These banks maintain deposits with Frost Bank, which offers them a range of services, including check clearing, transfer of funds, fixed income security services, and securities custody and clearance services. Frost Bank provides a range of trust, investment, agency and custodial services for individual and corporate clients. These services include the administration of estates and personal trusts, as well as the management of investment accounts for individuals, employee benefit plans and charitable foundations. Frost Bank�� Capital Markets Division offers services, such as sales and trading, new issue underwriting, money market trading, and securities safekeeping and clearance.
Frost Insurance Agency, Inc.
Frost Insurance Agency, Inc. is a wholly owned subsidiary of Frost Bank. Frost Insurance Agency, Inc. provides insurance brokerage services to individuals and businesses covering corporate and personal property and casualty insurance products, as well as group health and life insurance products.
Frost Brokerage Services, Inc.
FBS is a wholly owned subsidiary of Frost Bank. FBS provides brokerage services and performs other transactions or operations related to the sale and purchase of securities of all types.
Frost Premium Finance Corporation
Frost Premium Finance Corporation is a who! lly owned! subsidiary of Frost Bank. Frost Premium Finance Corporation makes loans to qualified borrowers for the purpose of financing their purchase of property and casualty insurance.
Frost Investment Advisors, LLC
Frost Investment Advisors, LLC is a registered investment advisor entity and a wholly owned subsidiary of Frost Bank. Frost Investment Advisors, LLC provides investors access to various Frost-managed mutual funds.
Frost 1031 Exchange, LLC
Frost 1031 Exchange, LLC is a wholly owned subsidiary of Frost Bank. Frost 1031 Exchange, LLC assists customers in structuring the exchange of property such that the transactions result in a tax-deferred exchange in compliance with Section 1031 of the Internal Revenue Code.
Frost Securities, Inc.
Frost Securities, Inc. is a wholly owned subsidiary of The New Galveston Company. Frost Securities, Inc. provides advisory and private equity services to middle market companies in Texas.
Main Plaza Corporation
Main Plaza Corporation is a wholly owned non-banking subsidiary of The New Galveston Company. Main Plaza Corporation occasionally makes loans to qualified borrowers.
Advisors' Opinion: - [By Sofia Horta e Costa]
Sanofi fell 2.6 percent after withdrawing a U.S. application for a diabetes drug. Cie. Financiere Richemont (CFR) SA dropped 2.3 percent as revenue missed analysts��estimates. Vivendi SA advanced 2.7 percent after saying it will begin a formal study to separate its French phone unit from its media businesses. Home Retail Group Plc (HOME) surged 5.4 percent to a two-year high as sales exceeded projections.
- [By WWW.DAILYFINANCE.COM]
AlamyCitizens Bank ranks the No. 1 financial institution among baby boomers. Each stage of life brings with it a unique set of challenges to overcome and benchmarks to hit -- and this is especially true when it comes to banking. Although financial institutions target millennials heavily, baby boomers (Americans born between 1946 and 1964) are still the most represented generation among today's banking customers. A December Gallup poll revealed that 89 percent of baby boomers have at least one checking, savings or money market account. With more than 75 million baby boomers in the United States, there's a greater demand for financial institutions that cater to the boomer lifestyle. 3 Things Baby Boomers Need Most From Banks The youngest baby boomers have reached seniority in the labor force, while the oldest members of this generation have entered retirement. Both ends of the spectrum have vastly different circumstances when it comes to income, but no matter their age, boomers have three main banking needs. 1. Customer Service. Customer service comes in many forms, whether from an in-person associate at a brick-and-mortar branch or an attendant at a small kiosk in a local grocery store. Boomers have grown up with institutions that rely on real-life, person-to-person transactions that allow them to talk through terms and conditions and have questions addressed. Physical bank branches are necessary in order to fulfill this service expectation. As more financial institutions have turned to online and mobile banking, some baby boomers who are slow to adapt to banking technology have been isolated as a result. 2. Retirement Planning. With the average life span in the U.S. expanding each year, and so many baby boomers on the road to retirement, the need for retirement planning resources becomes more and more pressing for many banking customers. "In my experience, the most stressful situation that baby boomers encounter is the fear of running out of money d
Top 10 Bank Stocks To Own Right Now: CSB Bancorp Inc (CSBB)
CSB Bancorp, Inc. (CSB), incorporated in 1991, is a financial holding company. The Commercial and Savings Bank of Millersburg, Ohio (the Bank) is a wholly owned subsidiary of the Company. CSB operates primarily through the Bank and its other subsidiaries, providing a range of banking, trust, financial and brokerage services to corporate, institutional and individual customers throughout northeast Ohio. The Bank provides retail and commercial banking services to its customers, including checking and savings accounts, time deposits, individual retirement accounts (IRAs), safe deposit facilities, personal loans, commercial loans, real estate mortgage loans, installment loans, night depository facilities, brokerage and trust services.
Lending Activities
The Bank provides residential real estate, commercial real estate, commercial and consumer loans to customers located primarily in Holmes, Tuscarawas, Wayne, Stark and portions of surrounding counties in Ohio. Commercial loan rates are variable as well as fixed, and include operating lines of credit and term loans made to small businesses, primarily based on their ability to repay the loan from the cash flow of the business. Business assets, such as equipment, accounts receivable and inventory typically secure such loans. Commercial real estate loans are primarily secured by borrower-occupied business real estate. Commercial real estate loans are generally originated with a loan-to-value ratio of 80% or less. Commercial construction loans are secured by commercial real estate and in most cases the Bank also provides the permanent financing. Residential real estate loans carry both fixed and variable rates and are secured by the borrower�� residence. Home equity lines of credit are made to individuals and are secured by second or first mortgages on the borrower�� residence. Installment loans to individuals include loans secured by automobiles and other consumer assets, including second mortgages on personal residences.
Investment Activities
As of December 31, 2011, the Company�� securities available-for-sale totaled $123,026,000. Its portfolio of securities available-for-sale includes the United States treasury securities, the United States Government corporations and agencies, mortgage-backed securities, obligations of states and political subdivisions, equity securities, and corporate bonds.
Sources of Funds
As of December 31, 2011, the Company�� portfolio of deposits included noninterest-bearing demand, interest-bearing demand deposits, savings deposits and time deposits. Short-term borrowings consist of securities sold under agreements to repurchase, short-term advances through Federal Home Loan Bank and federal funds purchased.
Advisors' Opinion: - [By CRWE]
Today, CSBB remains (0.00%) +0.000 at $18.75 thus far (ref. google finance Delayed: 3:53PM EDT July 30, 2013).
CSB Bancorp, Inc. previously reported second quarter 2013 net income of $1.25 million or $.45 per basic and diluted share, as compared to $1.14 million or $.41 per basic and diluted share for the same period in 2012.
Annualized returns on average common equity (��OE�� and average assets (��OA�� for the quarter were 9.32% and 0.88%, respectively, compared with 8.98% and 0.82% for the second quarter of 2012.
Eddie Steiner, President and CEO commented, ��e continue to focus on growing relationships with current and new customers. The bank�� average loan balances have increased 10% in the past year, and although margins remain tight, this growth has provided increases of approximately 4% in net interest income.��/p>
