Wednesday Papers: JPMorgan to close ‘prop’ trading division - other news

Financial Times

* JPMorgan Chase is to close the commodity unit that trades with the bank’s own money as Wall Street moves to comply with new US financial services rules banning proprietary trading.

* India’s economy grew a brisk 8.8% in the June quarter year-on-year.

* The Securities and Exchange Commission on Tuesday dropped a potential fraud action against Moody’s Investors Service, citing “uncertainty” over whether it had jurisdiction to pursue the action in the US.

* Deutsche Bank and Commerzbank might have to raise billions of euros in capital as Germany’s two biggest banks confront key decisions about long-awaited transactions.

* Anglo Irish Bank could require further state aid of €1.5bn-€2.5bn, according to Mike Aynsley, chief executive.

* Raiffeisen International, the Austrian-based lender, saw its consolidated profit more than triple from a year earlier to €70.7m as net interest income rose by 20.3% quarter-on-quarter.

* Phil Angelides, Financial Crisis Inquiry Commission chairman, said he planned to publish internal documents of Wall Street groups that could provide a treasure trove for would-be litigants.

* US banks’ profits rebounded to pre-crisis levels in the second quarter as falling loan losses enabled large institutions to reduce provisions and boost income, the Federal Deposit Insurance Corporation said on Tuesday.

* 888 Holdings cuts costs to stem a slump in pretax profits.

* UK to launch ‘comprehensive’ policing of online advertising.

* Britain will borrow less from the markets than expected in the remaining months of the year, giving a boost to the economy.