Treasury yields and interest rates continue to be a major focus for investors, as shares of banks and other financial institutions slipped. The upcoming annual Jackson Hole meeting by the Federal Reserve is anticipated with great interest, as market participants seek insights into potential interest rate hikes in September.
Chinese Banks Trim Benchmark Interest Rate
Chinese banks have made a minor reduction in benchmark interest rates on loans, signaling Beijing’s efforts to support the sputtering recovery in the country. However, it also reflects their unwillingness to adopt more forceful measures to reverse the economic slowdown. Although the rate cut was smaller than expected, it followed a surprise reduction in one of China’s key lending rates by the central bank.
Concerns Mount Over Chinese Property Developers
Investor sentiment took a hit as many Chinese property developers witnessed a decline in their share prices. This downturn was exacerbated by the country’s central bank maintaining its mortgage rate, which raised concerns about the health of the Chinese property sector.
Rental Prices Decline in the United States
Across the United States, rental prices have seen a decrease for the third consecutive month, primarily due to increased apartment supply. According to a recent report from Realtor.com, the median asking monthly rent in July fell by 1% compared to the previous year, amounting to $1,759. Studio apartments cost $1,445 per month, while one-bedroom apartments were priced at $1,642.
Goldman Sachs Considers Sale of Wealth Management Division
Goldman Sachs has announced its consideration of selling a portion of its wealth management division. The Personal Financial Management unit, which holds $29 billion in assets, is being put on the market by the New York-based bank.
Rival Offer Emerges for Sculptor Capital Management
Boaz Weinstein, William Ackman, Marc Lasry, and other prominent investors have presented a competing offer for Sculptor Capital Management. This hedge-fund firm had previously agreed to be acquired by another investment company.