News Highlights: Top Financial Services News of the Day

Features Dow Jones Newswires

Economists See Modest Impact From a Fed Balance-Sheet Reduction

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Shrinking the Federal Reserve's $4.5 trillion portfolio of bonds and other assets will have a relatively modest effect on interest rates and monetary policy, according to economists surveyed by The Wall Street Journal.

Wells Fargo to Cut Additional $2 Billion in Expenses

Wells Fargo plans to cut an additional $2 billion in expenses by the end of 2019, more than analysts had expected.

Italy's Battered Banks Find Some Love

Investors moving from larger banks and reliable insurers to riskier plays.

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Bank of England Bets on Smooth Brexit

The Bank of England forecast steady if unspectacular growth for the U.K. in the years ahead and held interest rates unchanged.

Itaú Close to Deal to Buy 49% of Broker XP

Itaú Unibanco, Brazil's second-largest bank by assets, is in advanced talks to acquire a 49% stake in local investment broker XP Investimentos.

The One Bond Market Where Yields are Still at Record Lows

Global bonds have been roiled by improving growth prospects, but in one of the riskiest parts of the market, junk-rated credit, yields are still falling to all-time lows.

The Volcker Rule: How Trump's New Regulator May Unleash Big Banks

The nation's main national bank regulator could act on its own to give banks relief from the Volcker rule trading ban, the agency's acting chief said.

AIG Plans to Name Brian Duperreault as Next CEO

Insurance giant AIG plans to name Brian Duperreault-a onetime lieutenant to former CEO Maurice R. "Hank" Greenberg-as the firm's chief executive officer, with an announcement expected as soon as Thursday.

U.S. Runs $182 Billion Budget Surplus in April

The U.S. ran a budget surplus in April, masking broader trends toward a growing deficit.

Aetna to Pull Out of Current Affordable Care Act Exchanges

Aetna Inc. said it would pull out of the Affordable Care Act exchanges in Delaware and Nebraska next year, confirming that the insurer will exit all of the marketplaces where it currently sells plans.

(END) Dow Jones Newswires

May 11, 2017 11:15 ET (15:15 GMT)