Financial Stocks Advancing; ICICI Bank Rallies 12% After Moody's Review Cuts Sub-Debt Ratings Only 1 Notch


Top Financial Stocks

JPM +0.75%

BAC +0.71%

WFC +0.89%

C +0.59%

USB +1.61%

Financial stocks are higher, with the NYSE Financial Sector Index advancing 0.4% and the S&P Financial 100 Index gaining 0.4%.

In company news, ICICI Bank Ltd. ( IBN ) is up 12.3% at $30.27 per share, showing little apparent ill effect of a Moody's downgrade of its subordinated debt and junior subordinated debt ratings. The downgrade was the result of a review by the rating shop of three private-sector and eight public-sector banks in India that began June 3.

Private banks like IBN saw their ratings decline one notch after Moody's removed the systemic support uplift previously incorporated into its subdebt and junior subdebt ratings while the public-sector institutions were cut two or three notches. The banks' senior obligation ratings and their stand-alone baseline credit assessments were not affected.

With the downgrade, the long-term local currency subordinated debt program rating at all IBN branches, including New York, Dubai and Singapore fell to Ba1 from Baa3. The long-term local currency junior subordinated debt program rating was cut to Ba2 from Ba1. The outlook on the new ratings is stable, Moody's said.

In other sector news,

(+) TPGI, (+6.1%) REIT climbs to new 52-week high after agreeing to $6.26-a-share, all-stock buyout by Parkway Properties ( PKI ) valued at $1.2-billion overall.

(-) CME, (-0.2%) Prices $750-mln offering of 5.3% senior unsecured notes due 2043. It plans to use proceeds, together with cash on hand, to retire at maturity all of its 5.75% notes coming due in February 2014.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.

Copyright (C) 2014 All rights reserved. Unauthorized reproduction is strictly prohibited.

This article appears in: Investing , Commodities

Referenced Stocks: IBN , PKI

MT Newswires

MT Newswires

More from MT Newswires:

Related Videos

Buy-to-Let Mortgages
Buy-to-Let Mortgages                



Most Active by Volume

  • $16.44 ▲ 2.05%
  • $128.70 ▼ 0.19%
  • $48.24 ▼ 0.85%
  • $3.89 ▼ 1.02%
  • $5.15 ▼ 1.34%
  • $37.88 ▲ 0.11%
  • $6.54 ▲ 0.62%
  • $16.39 ▼ 0.91%
As of 5/4/2015, 04:15 PM

Find a Credit Card

Select a credit card product by:
Select an offer:
Data Provided by