‘I Owe It All to You’: Ex-Trader Decodes FX ‘Cartel’ Tactics
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‘I Owe It All to You’: Ex-Trader Decodes FX ‘Cartel’ Tactics – Bloomberg
Even after a group of British currency traders known as “The Cartel” began to sense their online chats were being watched, they didn’t stop illegally conspiring to rig the markets by using code words, one of them told a Manhattan federal jury.
CME-Nex Deal Receives US Antitrust Clearance
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CME-Nex Deal Receives US Antitrust Clearance – Financial Times (subscription)
CME Group’s planned £3.9bn purchase of Nex Group, the UK trading and technology company, has taken a major step towards completion after it passed regulatory hurdles in the US and Europe.
Opaque Markets Get a Little Clearer after EU Rule Change
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Opaque Markets Get a Little Clearer after EU Rule Change – Reuters
Ten months after new European Union rules designed to boost market transparency kicked in, the initiative appears to be working, having fueled a dramatic jump in electronic trading across some of the financial world’s most opaque markets.
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Accused UK Traders Were Only Kidding, US Jury Told
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Accused UK Traders Were Only Kidding, US Jury Told – Financial Times (subscription)
Three UK-based bank traders accused of fixing foreign exchange markets through a private chatroom were engaging in a comic back-and-forth to blow off steam and broke no laws, their attorneys said in opening arguments at their trial in New York.
- ‘Cartel’ Chatroom Messages Show Currency Conspiracy, Prosecutor Says – Bloomberg
- Forex ‘Cartel’ Traders Cheated the Market, Jury Hears – Law360 (subscription)
- US Trial Begins for London Forex Traders Accused of Rigging Prices – Reuters
- The Trial of Mark Johnson and That of the Cartel Threesome Are Not Inextricably Linked (opinion) – Profit & Loss
Tough Question for FX Investors: How Should You Execute That Trade?
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Tough Question for FX Investors: How Should You Execute That Trade? – Greenwich Associates
The Greenwich Report highlights several important findings including the premium FX investors place on access to disclosed dealer liquidity, which is valued more highly than CLOB or non-bank liquidity combined and that firms see post-trade workflow as twice as important as pre-trade analytics.
Participants “Feel the Pain” of Capital Requirements on FX: Traiana
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Participants “Feel the Pain” of Capital Requirements on FX: Traiana – Global Investor (subscription)
Nex Optimisation, Capitolis partner on FX novation service to help with Brexit and capital requirements.
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Forex Scandal Comes Down to Case Against the ‘Cartel’
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Forex Scandal Comes Down to Case Against the ‘Cartel’ – Financial Times (subscription)
The currencies market goes on trial this week in a process that has whittled down systemic poor behaviour, years of investigations and billions in bank fines to three former London traders. They face a court in New York and a potential sentence of 10 years in jail.
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No-Deal Brexit Has Big Implications for Europe’s Derivatives Market
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No-Deal Brexit Has Big Implications for Europe’s Derivatives Market – Financial Times (subscription)
LCH UK, which operates the London-based derivatives clearing house for interest rate swaps, has let its EU members know that they could be given just three months to move £38tn in notional value of swaps contracts to other venues.
- EU Clients Face Axe from UK CCPs – net (subscription)
- European Banks Need London Clearing for Brexit Risks, ESMA Says – Bloomberg
- EU Regulator Calls for Access to UK Deal Insurers in Event of Hard Brexit – City A.M.
- FIA Welcomes Maijoor’s Comments on Post-Brexit Access – Global Investor (subscription)
Q&A: CFTC’s Giancarlo on the Race to Overhaul Cross-Border Rules
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Q&A: CFTC’s Giancarlo on the Race to Overhaul Cross-Border Rules – Risk.net
When Christopher Giancarlo announced plans in early September to overhaul how the US Commodity Futures Trading Commission will treat foreign clearing houses, he literally moved markets. But now he says his far-reaching proposals in this area might not be completed during his time as chairman.
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CME FX Volume Surges in September, NEX Also Higher
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CME FX Volume Surges in September, NEX Also Higher – Profit & Loss
CME Group has reported the second busiest month for its FX contracts since September 2014. The exchange group reports that it handled 1.132 million contracts on a daily basis in September, a 28.2% increase on August.
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