Miscellaneous Quotes from week to 3rd November 2016

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Morgan Stanley – CEO James Gorman on Bloomberg TV

Brexit is just bad news

“From our perspective, just narrowly from the financial sector and from our institution, there’s nothing good about Brexit. Now we’re going to have to have our headquarters in Europe, in addition. We are probably going to have to have, with our legal entities there, more capital and liquidity trapped in those legal entities. None of this is good.”

 

Mark Carney – BoE Governor in a letter to the Chancellor of the Exchequer

He is staying until the end of June 2019.

“Recognising the importance to the country of continuity during the UK’s Article 50 negotiations, and notwithstanding those personal circumstances, would be honoured to extend my time of service as Governor for an additional year to the end of June. By taking my term in office beyond the expected period of the Article 50 process, this should help contribute to securing an orderly transition to the UK’s new relationship with Europe.”

 

Bank of Japan Monetary policy decision

Curve control continues

“…the Bank decided to maintain the guideline for market operations in which the short-term policy interest rate is set at minus 0.1 percent and the target level of 10-year JGB yields is set at around zero percent.”

 

Brian Gilvary – BP Plc (BP) Group CFO and Executive Director in the Q3 Earnings Call

The oil inventories are high

“The physical market appears to have moved broadly into balance with the amount of oil produced each day broadly in line with daily consumption. Nevertheless, oil inventories are at record levels and will still take some time to reduce.”

…but they expect them to decline

“Looking ahead, we expect inventories to decline gradually next year supported by continued demand growth and sustained weakness in non-OPEC supply. The precise pace and timing of that decline will depend on the outcome of OPEC’s meetings at the end of November. Forward prices for Brent continue to point a modest upper trajectory. The forward curve moved slightly higher in October following the OPEC’s announcement.”