PRESS DIGEST- Financial Times - June 27

June 27 (Reuters) - The following are the top stories in the Financial Times. Reuters has not verified these stories and does not vouch for their accuracy.

Headlines:

BANKS START TO DRAIN BARCLAYS DARK POOL

(http://on.ft.com/1sJ4goy)

BERLIN DROPS VERIZON OVER US SPYING FEARS

(http://on.ft.com/1o81PGU)

BANK OF ENGLAND LIMITS MORTGAGES TO PROTECT RECOVERY

(http://on.ft.com/TnDlht)

OBAMA PROPOSES FUNDING FOR SYRIAN REBELS

(http://on.ft.com/TnEndo)

WALL STREET BANKS CREATE CORPORATE BOND TRADING PLATFORM

(http://on.ft.com/1lTcFjP)

Overview

Investors have started pulling out of Barclays' "dark pool" after New York's top securities regulator sued the British bank.

Berlin ended a contract with Verizon over concerns about the security of its systems in the first sign of serious commercial repercussions in Europe from the Snowden revelations of mass U.S. government spying on its allies.

The Bank of England imposed limits on mortgage borrowing to try to prevent a new credit boom from derailing the economic recovery. The central bank predicted that surging house prices will rise further still.

The United States increased its role in the long-running and bloody civil conflict in Syria after the Obama administration proposed funding to provide U.S. military training and equipment for the Syrian opposition for the first time.

Wall Street banks, including Goldman Sachs and JPMorgan Chase, are seeking to maintain their hold on the business of trading U.S. companies' debt while boosting liquidity in the $10 trillion market by creating a new trading platform for U.S. corporate bonds.

(Compiled by Tasim Zahid in Bangalore; Editing by Jan Paschal)

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