Banks Speed Up FX Reform – Euromoney
Banks are making steady progress in cleaning up their foreign exchange businesses in the wake of regulatory investigations into rigging currency markets, according to the chair of the Financial Stability Board’s FX benchmarks group Guy Debelle.
British Bankers’ Association Officials Received Warnings About Libor in 2007, Court Hears – Wall Street Journal (subscription)
The group responsible for running a key interest-rate benchmark was warned in 2007 that banks were manipulating the figure to benefit their trading positions, a London court heard Friday.
EU QE Effective as a Firewall Around Greece – Profit & Loss (free story)
There were no surprises in Brussels on 3 June as the European Central Bank’s Governing Council announced its decision to keep key interest rates unchanged for the seventh meeting in a row.
India Regulator Mulls Launch of Offshore Rupee Market – Asia Risk (subscription)
The Reserve Bank of India (RBI) has been consulting with banks about the possibility of setting up a fully convertible offshore foreign exchange market in a move analogous to China’s currency liberalisation but many are sceptical that this will get off the ground. Like most emerging Asian economies, India’s currency is not fully convertible.
EU Gives Banks, Pension Funds More Breathing Space Over Derivatives – Reuters
The European Commission will give banks in the EU another six-month exemption until December from having to hold extra capital to cover transactions at clearing houses that don’t meet the bloc’s standards.
Greece Vows Not to Leave the Euro after IMF Payment Defiance – The Guardian
Rolling coverage of Greece’s debt drama, as Prime Minister Alexis Tsipras prepares to address parliament tonight.
Time for Trading Technology to Grow Up: Comment – Financial Times (subscription)
Software can be tested and certified, yet there is no global standard for financial systems software quality. Despite being used by the industry for decades, financial software is going through a delayed, proprietary, “we know best” phase.
Hedge Fund Investor Bemoans Lack of Pure Currency Hedge Funds – Euromoney
Fund managers at FQS Capital Partners, a London-based fund of hedge funds, are among many that have bemoaned the current lack of quality pure currency hedge funds.