Recession fears abate, Goldman is said to weigh $2B fine for 1MDB, and blockchain jobs drop off the map: This Week in Finance

Welcome to This Week in Finance, your weekly roundup of the conversations trending among financial professionals on LinkedIn. Click Subscribe above to be notified of each edition. This week:

Recession fears abate — for now

After a year of heightened economic anxiety, when seemingly every strategist was forced to look into their crystal ball and predict the timing of the next recession, fears of the next downturn have receded. U.S. Fed Chair Jerome Powell and former Chair Janet Yellen see continued moderate growth in the world's largest economy through 2020. Christine Lagarde, the new European Central Bank president, also said in September that her baseline outlook does not include a global recession. Risks remain, including the global trade war, the Brexit process, and various potential debt crises. ?? Here's what people are saying.

Goldman Sachs may admit 1MDB guilt

Goldman Sachs is in talks with the U.S. government to pay a fine of up to $2 billion and admit guilt to settle a criminal probe into its role in the 1MDB scandal, reported The Wall Street Journal, citing anonymous sources. In addition to having its Asia unit admit to violating U.S. bribery laws, the investment bank may also agree to an independent monitor for its compliance procedures. In what was seen as one of the world's biggest corruption cases, some $4.5 billion was found to be siphoned from 1MDB, a Malaysian sovereign wealth fund. The case took down the country's former prime minister, who is currently on trial for charges related to 1MDB. ?? Here's what people are saying.

Equity research jobs take a hit

Investment banks are shedding research analysts as new technology, regulations, and marketplace demands all hit the finance industry at once. Headcount for equity researchers dropped by 8% this year, the sharpest annual decline since 2012, according to Coalition Development data. New European regulations, known as the Markets in Financial Instruments Drive, drove the deepest cuts by requiring research costs to be separated from trading fees — and exposing the price of research. ?? Here's what people are saying.

Google to Fed: Follow India’s payment model

Google urged the U.S. central bank to follow India’s example for FedNow, the Federal Reserve's proposed inter-bank payment system. In a letter to the Fed, the search giant highlighted three aspects of India's UPI that contributed to its success: it’s an inter-bank transfer system, it allows realtime settlements, and technology companies can build e-wallets on the platform. Google called UPI “thoughtfully planned” and “well designed.” The total volume of UPI transactions in the third quarter rose by 183% to 2.7 billion. ?? Here's what people are saying.

What's next for world's top IPO hub?

The jury is out on whether Hong Kong's stock exchange — a key driver of the city-state's status as a financial hub — can keep its shine. Consultancy KPMG says it's on course to remain the world's top IPO market for the fourth time in five years, buffeted by mega-listings like Alibaba Group. But mainland Chinese exchanges are vying to attract fast-growing tech firms, while experts fear the city's civil unrest could damp trading. While KPMG projects a similar level of Hong Kong listings next year, rival Deloitte expects a 20% to 30% decrease. ?? Here's what people are saying.

Indonesia a bright spot for hungry banks

Faced with slowing economies on their home turf, some Asian banks are gobbling up Indonesia's in search of growth. Thailand's largest lender, Bangkok Bank, is buying a majority stake in Bank Permata for $2.7 billion to stretch beyond its shores, while Japan's MUFG has bought Bank Danamon. Indonesia's booming economy, plus the country's efforts to restructure its banking industry, are particularly attractive to hungry banks — McKinsey predicts more M&A to come. ?? Here's what people are saying.

Blockchain jobs drop off the map

The hiring of blockchain developers in 2019 plummeted from last year, according to LinkedIn's U.S. Emerging Jobs Report. The No. 1 emerging job in 2018, blockchain developer didn't make the list this year as the price of bitcoin continued its roller-coaster trajectory. LinkedIn members who joined the conversation noted that cryptocurrencies like bitcoin are only an initial application of blockchain technology, and that awareness and education of blockchain's potential remain low but are likely to rise over time. ?? Here's what people are saying.

—With Yunita Ong, Kelli Nguyen, and Shajil Kumar.

Don't miss each edition of This Week in Finance: Click Subscribe above or below to be notified.