Fitch: Media & Entertainment M&A Activity to Remain Steady
Fitch Ratings said M&A activity within the media & entertainment sector is expected to remain steady in the near to intermediate term.
Fitch Ratings said M&A activity within the media & entertainment sector is expected to remain steady in the near to intermediate term.
Fitch Ratings said that good liquidity, improving capital and better asset quality are all contributing to stable credit profiles for the largest U.S. regional banks, despite a difficult operating and regulatory environment.
Healthy demand for leveraged loan exposure among large non-bank institutional investors has transformed the role played by U.S. banks in leveraged credit, according to Fitch Ratings.
Increased exposure to floating-rate investments and generally heavy use of fixed rate funding has positioned U.S. business development companies (BDCs) well to adjust to the rising rate environment longer term, according to Fitch Ratings.
Fitch Ratings said that earnings numbers for the largest U.S. banks have been helped by large releases of loan loss reserves in Q2/13, but core earnings performance remains lower than historical standards, excluding these releases.
The U.S. banking regulators’ proposal to double the minimum Basel III leverage ratio, referred to as the supplementary leverage ratio, is likely to be manageable for affected banks, Fitch Ratings said.
Catalysts are beginning to emerge that could prompt an increase in merger and acquisition activity in the U.S. banking sector over the immediate term, according to Fitch Ratings.
Most U.S. banks should be able to meet tougher standards set by U.S. banking regulators in their final capital rules, Fitch Ratings said.
The recent rise in U.S. Treasury yields and speculation surrounding possible changes in the Fed’s bond buying program have highlighted the potential risks faced by U.S. banks in a rising rate environment, according to Fitch Ratings.
Fitch Ratings said that U.S. employment growth in May likely signals a continuation of Fed asset purchases and monetary easing as questions persist about the fundamental health of the U.S. economy.