US investors heaved a sigh of relief overnight, as the Obama administration unveiled a $25 billion settlement with five major home lenders over foreclosure abuses.
Around the world, bank executives are squealing at the proposed toughening of their capital and liquidity requirements and, around the world, regulators are ignoring them and pressing ahead.
Suddenly, the year 2012, which promised so much, is starting to look as though it will be ugly for the banking business, writes Robert Gottliebsen.
Australia's AAA sovereign rating from all three ratings groups is another reason the impact on funding costs will be minimal.
MF Global filed for bankruptcy protection overnight in what is the eighth largest financial collapse in US history, excluding banks such as Washington Mutual.
If Bank of America shares keep falling, then we are facing a very dangerous situation, especially as it will multiply the problems of the European banks, writes Robert Gottliebsen.
Disappointing profit results released overnight highlight the struggle US banks are facing, writes Karen Maley.