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Recent Editions
Risk Channel
North America
The U.S. Supreme Court ruled 8-1 in favor of the Federal Communications Commission (FCC), affirming its system for imposing fines on wireless carriers AT&T and Verizon. The ruling addressed whether the FCC's internal proceedings violated the companies' constitutional right to a jury trial. The FCC had fined AT&T $57m and Verizon nearly $47m for unlawfully selling customer location data without consent. The court's decision supports the FCC's authority to assess penalties, with Justice Department lawyers arguing that companies can challenge these assessments in court. The ruling follows a split among regional appellate courts regarding the legality of the FCC's procedures.
Full Issue
Risk Channel
UK/Europe
Asia-focused UK financial stocks fell after reports that Chinese lenders have tightened access to Hong Kong bank accounts for mainland clients as Beijing seeks to curb capital flight. Standard Chartered closed down 2.8%, HSBC lost 1.8% and Prudential fell 7.6%, reflecting investor concern that stricter oversight could reduce cross-border demand for banking, investment and insurance products. The South China Morning Post reported that Bank of East Asia’s Shanghai branch had suspended the opening of Hong Kong accounts, while Reuters said HSBC and Hang Seng Bank had asked some investment-account clients to confirm funds came from overseas rather than China. Jefferies analysts said the rules appeared aimed at enforcing existing restrictions rather than disrupting the system, but warned that some customers may avoid buying products altogether.
Full Issue