Top Headlines

Amrolia Joins XTX Markets as Co-CEO – Profit & Loss
Zar Amrolia, the former co-head of fixed income, currencies and commodities at Deutsche Bank, will join XTX Markets as co-CEO with Alex Gerko.

• Deutsche Bank Former Ficc Co-Head Departs – FastFT

Swings In Asian Currencies Drive FX Volatility Back Up – Wall Street Journal (subscription)
The unexpected devaluation of China’s tightly managed yuan earlier this month has lit a fuse under currency markets.

• Stocks Rebound But Caution Remains – Wall Street Journal (subscription)

Bitcoin Mining: The Race to Zero? – Profit & Loss
New analysis from staff at the Federal Reserve Bank of New York suggests that the profitability of mining bitcoins has decreased in 2015, and will continue to do so in the future.

FX Liquidity to Diversify – Markets Media
For an institutional market participant in need of a foreign exchange trading counterparty, Wall Street’s so-called Bulge Bracket was historically the go-to phone call.

Regulatory News

BoJ and JFSA Officials Seek Bank Capital Clarity – Risk Magazine (subscription)
BoJ’s Nakaso suggests moratorium after current rule-book changes are complete Officials at the Bank of Japan and the country’s Financial Services Agency (FSA) have called for outstanding elements of the bank capital framework to be finalised as soon as possible, so the industry can plan for the future.

Kay is Right to Argue that Regulation will not Save us – Financial News (subscription)
Is what investment banks do largely useless? Six years ago, Adair Turner, then chairman of the Financial Services Authority, provoked uproar in the City by suggesting that some of what went on in trading rooms in the run-up to the financial crisis was “socially useless”.

Regulators Urged to Change Leverage Ratios – Markets Media
The Basel bank leverage ratio should be reconsidered to encourage more competition in clearing according to consultancy Tabb Group.

Esma Consults on Remaining-Mifid-II-Standards – FOW (subscription)
The European Securities and Markets Authority (Esma) on Monday launched a public consultation on the remaining draft implementing technical standards not yet implemented.

Germany, France, Britain call for rethink of new EU securities rules – Reuters
Germany, France and Britain are seeking amendments to new EU rules that aim to increase transparency in bond trading, arguing that the current proposals could have negative unintended consequences for investors and markets.

Company News

Nomura Wrongfully Dismissed American Executive, Tokyo Court Finds – Wall Street Journal (subscription)
Brokerage and executive had dispute over invention of an electronic-trading product.

Market Savvy

Devaluation Lessons in Denmark Show Cost of Race to Bottom – Bloomberg
Don’t devalue. That’s the simple message from the Danish government, whose finance minister this week affirmed his nation’s commitment to a fixed currency regime.

Just the Mechanics of the Fed’s Exit Strategy Could Boost the Dollar – Bloomberg
The US dollar has risen 17% against the euro over the past year, as the Federal Reserve has drawn closer to raising interest rates for the first time since 2006.

The “Great Accumulation” Is Over: FX Reserves Have Peaked, Beware QT – Deutsche Bank
2015 will mark the peak in global FX reserve accumulation. Following two decades of unremitting growth, we expect global central bank reserves to at best stabilize but more likely to continue to decline in coming years.

Industry Events

Profit & Loss Scandinavia, 16 September in Copenhagen, Denmark
SFOA’s Burgenstock, 22-24 September in Geneva, Switzerland
Profit & Loss Forex Network Chicago, 24-25 September in Chicago, IL
Forex Magnates’ London Summit, 2-3 November in London, UK
FIA Expo 2015, 3-5 November, in Chicago, IL
Profit & Loss Shanghai, 12 November in Shanghai, China
Profit & Loss Singapore, 19 November in Singapore
11th Annual FIA Asia Derivatives Conference, 8-10 December in Singapore