US money market funds have nearly doubled their allocations to European banks over the past 12 months, in a sign of improving investor sentiment towards the region. In the first half of the year, the 10 biggest US money market funds allocated about 15 per cent of their $652bn in assets to short-term deposits and debt securities with eurozone banks, according to Fitch, the credit rating agency.
The change effectively means there is less than a one-third chance of a downgrade in the next two years. S&P said a key factor to its revision in the U.S. rating outlook was the agreement reached by the U.S. Congress to avoid the ‘fiscal cliff’, which had threatened some $600 billion in automatic tax increases and spending cuts.
The GSMA announced that mobile operator data revenues will overtake voice revenues globally by 2018 as we move towards a fully connected world. The mobile data explosion is being driven by a surge in demand for connected devices and machine-to-machine (M2M) communications and is transforming the socioeconomic future of people in developed and developing countries.