Good morning, New York...
FT ALPHAVILLE
Presenting the new BoJ. At least, markets are sure it's a new dawn for Japanese monetary policy. And yeah, we know: this sort of initial euphoria has fizzled out before — but the new Bank of Japan governors appear to have actually come through with the goods. Click through to Kate's post for the bank's announcement on "a new phase of monetary easing".
Bitcoin as fiat. A quick update to our latest Bitcoin post, since it seems that some have an issue with the virtual unit being described as a fiat currency. Izzy outlines our rationale for calling it that.
When memory becomes money. Requests have been made, so Izzy has provided a quick "story so far" on Bitcoin. Consider this a perfect dinner party cheat.
NEWS
The Bundesbank has launched an investigation into claims that Deutsche Bank hid billions of dollars of losses on credit derivatives during the financial crisis, according to people familiar with the situation. Investigators from Germany's central bank are scheduled to fly to New York next week as part of an inquiry into allegations that misvaluing credit derivatives allowed Deutsche to hide up to $12bn in losses, helping it avoid a government bailout. (Financial Times)
A leading dove at the Federal Reserve said it could start tapering off its QE3 programme of quantitative easing this summer, in a sign of how debate at the US central bank has shifted on the issue. "Assuming my economic forecast holds true, I expect we will meet the test for substantial improvement in the outlook for the labour market by this summer," said San Francisco Fed president John Williams in a speech in Los Angeles on Wednesday. (Financial Times)
Barclays should lower warped pay levels, end the bank's "entitlement culture" and usher in a spirit of "transparency and candour" if it is to win back trust, according to a long-awaited review of the bank's flawed culture and values. Anthony Salz, the City lawyer-turned-Rothschild investment banker who on Wednesday published a 244-page report on Barclays' business practices, said pay levels were one of the most pernicious cultural problems, particularly among a cohort at the helm of the bank that he calls "the top 70". (Financial Times)
The Obama administration is closing in on a deal that would pump billions of dollars into private insurance schemes for the poor in the state of Arkansas, a new model that has vast implications for the rest of the country and the health law known as Obamacare. A letter from Kathleen Sebelius, the health secretary, to Mike Beebe, Arkansas governor, released on Monday gave the state the preliminary green light to pursue the plan, which could give rise to similar proposals in Florida, Ohio and perhaps Texas. (Financial Times)
Goldman Sachs and JPMorgan Chase are reaping the rewards as rivals suffer a decline in investment banking and capital markets activity, according to Goldman president Gary Cohn. "We are seeing capacity come out of our competitive landscape for the first time in 50 or 100 years," Mr Cohn told a press briefing in São Paulo, Brazil, where he announced increased investment in Latin America. (Financial Times)
The Colonel accepts mobile payments: Kentucky Fried Chicken has become the latest company to allow customers to use a"mobile wallet" to order and pay for food before they arrive at an outlet. The company has joined McDonald's, Starbucks and other quick service restaurants trying to attract new customers and boost sales through smartphone apps and mobile payment systems. (Financial Times)
The maker of the popular mobile game Angry Birds reported a doubling in revenues in 2012 that is led by growing sales of spin-off products such as plush toys and stationery. Privately-held Rovio, based in Espoo, Finland, said that sales of merchandise such more than tripled last year to €68.5m, and accounted for 45 per cent of its revenues. Net profit rose 56.8 per cent from 2011, to €55.5m. (Financial Times)
Ubiquisys, has been acquired by Cisco for $310m. The UK company's small-cell telecoms technology uses local hubs to enhance call quality and data connection. (Financial Times)
Markets: European stock markets resumed their tentative rise, while in Japan stocks soared and the yen fell after the country's central bank launched an aggressive new bond-buying programme. The Euro Stoxx 50 rose 0.5 per cent in morning trading and US futures rose after the Bank of Japan's announcement and ahead of the European Central Bank meeting that could possibly produce the first interest rate cut in a year. (FT's Global Market Overview)
