Top Headlines

Bitcoin Futures Launch But The Song Remains the Same – Profit & Loss

CBOE officially launched trading on bitcoin futures on Monday morning in Asia and while the event was much anticipated, price action has generally conformed to that of the past year with the price of the cryptocurrency rising steadily.

Could Bitcoin Futures Spell Trouble for Spot Market? – Profit & Loss

At the moment it seems as though literally half the people that I’m speaking to just want to talk about bitcoin, while the other half just want to complain that no one wants to talk about anything except bitcoin.

Dollar Dips on Lackluster Wage Growth; Bitcoin Futures Surge – Reuters

The dollar edged lower on disappointing US wages data that analysts said could weigh on the pace of interest rate hikes from the Federal Reserve next year.

Sterling Stabilises After Biggest Drop in a Month – Reuters

Sterling steadied after posting its biggest daily drop in more than a month on Friday as investors cautiously added some long bets in a week when Britain and the European Union will sign off on a deal to move to the next stage of Brexit talks.

Brexit-Battered Pound as Volatile as Emerging-Market Currencies – Bloomberg

The British pound has more in common with the Colombian peso and the Polish zloty than you may think.

UK Court Rebukes HSBC Over Missing Forex Trading Records – Financial Times (subscription)

HSBC was on the end of a judicial rebuke after belatedly finding a whole swathe of trading records it previously claimed did not exist as part of a lawsuit it faces over allegedly front-running foreign-exchange trades.

City of London Sticks to Brexit Plans Despite Progress – Reuters

London’s financial industry welcomed progress on a divorce deal with the European Union on Friday but said it saw little reason to alter preparations for when Britain leaves the EU. 

Traders Lament Death of FX Volatility as Torpor Tanks Returns – Bloomberg

While most traders would hardly describe 2017 as “dull” – what with the nuclear brinkmanship, disintegration of global trade alliances and numerous presidential tweet storms – one thing has remained conspicuously absent: volatility.

US Regulators Eye Algorithmic Trading – Profit & Loss (video)

Justin Slaughter, a partner at Mercury Strategies, warns that US regulators are examining if they need to take further action around algorithmic trading.

Bitcoin Fairy Dust Sends Other Niche Assets Soaring – Financial Times (subscription)

The bitcoin mania is spilling over into semi-related, niche areas of the broader financial markets, where a clutch of cryptocurrency funds, blockchain companies and digital currency groups have rocketed in value.

Will the Shift Out of Tech Into Financials Last? – Financial Times (subscription)

Central bank meetings’ impact on currencies and gold’s fall also in focus.

Irrational Award for ‘Regulator of the Year’ – Profit & Loss (subscription)

If this was truly an accolade I would probably give it to the CFTC, but as noted it’s an Irrational, so the winner has to be the latest in a long line of head-in-the-sand authorities.

Regulatory News

FCA Urges Asset Managers to Report Mifid Implementation Struggles – Financial Times (subscription)

The Financial Conduct Authority has called on asset managers to notify the regulator if they are struggling with the implementation of sweeping new European market rules that come into force on January 3.

UK SFO Gets a Reprieve as Government Abandons Plans to Kill It – Bloomberg

The UK government u-turned on campaign promises to disband the Serious Fraud Office (SFO), with the white-collar prosecutor remaining independent under the Conservative Party’s newest plans for tackling economic crime.

Not Even an SEC Probe Can Damp Demand for Initial Coin Offerings – Financial Times (subscription)

According to the SEC, these tokens amount to securities, so ICOs need to play by the relevant laws.

Australian Government Amends AML Rules to Cover Digital Currencies – Finextra

The Australian Senate has passed legislation extending anti-money laundering and counter-terrorism financing regulation to digital currency exchanges.

Contenders Emerge for Number Two Fed Job, Search to Narrow – Reuters

The Federal Reserve Bank of New York will soon narrow its search for candidates to fill what is considered the Fed’s second-most powerful job after having scouted a diverse field, from a local business school dean to a former Fed governor.

Company News

CBOE Launches SEF NDF Trading – Profit & Loss

CBOE Global Markets (CBOE) has announced the launch of NDF trading on its Swap Execution Facility (Sef), CBOE SEF.

AL&P Hires Kelsall as Senior Portfolio Manager – Profit & Loss

Adrian Lee & Partners has hired Keith Kelsall as a senior portfolio manager.

Prepare for Mifid II Enforcement, European Firms Warned – Financial News

European financial institutions must not assume that regulators will go easy when new trading rules come into effect in January 2018, consultancy Deloitte has warned.

Deutsche Bank Can Cope with Basel III Outcome: CFO – Reuters

Deutsche Bank is able to cope with the stricter capital rules on banks that were agreed this week, its finance chief told a German paper.

ICE Taps Former CFTC Commissioner Bowen for Board – Waters Technology (subscription)

Bowen fills a newly created seat on the exchange operator’s board of directors.

Market Savvy

New Zealand Central Bank Names New Governor – Financial Times (subscription)

By late afternoon in Hong Kong, the kiwi was up 1.2 per cent at $0.6920 against the greenback and on track for its best close in a month.

Krone Drops After Norwegian Inflation Miss – Financial Times (subscription)

The Norwegian krone has stumbled after inflation data came up short two days before the country’s central bank is set to announce its latest stance on interest rates.