Trump Drags Dollar to Center Stage at G-20 as Trade War Heats Up

Trump Drags Dollar to Center Stage at G-20 as Trade War Heats Up – Bloomberg (subscription)

President Donald Trump believes the dollar is too strong, a senior administration official said Tuesday. Last week, Trump accused Europe and China of weakening their currencies to gain a competitive advantage. Wall Street banks are even starting to ponder the risk that the US could seek to drive the dollar lower.

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Tweets, Trade and the Fed Now Have Markets Moving in Packs

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Tweets, Trade and the Fed Now Have Markets Moving in Packs – The Wall Street Journal (subscription)

Bonds, stocks and currencies are moving in tandem more often, as central-bank surprises and trade uncertainty assert their grip over markets. Known by investors as “risk-on, risk-off,” the phenomenon happens when markets essentially split into two broad buckets that move together.

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FXPA to Host Presentation on Front-Running, Pre-Hedging in NYC

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FXPA to Host Presentation on Front-Running, Pre-Hedging in NYC

The Foreign Exchange Professionals Association (FXPA) will hold a special presentation by the law firm Clifford Chance on the recent prosecutions that centered on issues relating to front-running and pre-hedging in the FX industry. The event takes place on July 9th and is hosted by FXPA Founders Council Member, Cboe Global Markets, at their offices in downtown Manhattan.

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CFTC Chair Complains to European Commission Over Regulation Jibe

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CFTC Chair Complains to European Commission Over Regulation Jibe – Financial Times (subscription)

Christopher Giancarlo, chair of the Commodity Futures Trading Commission, wrote last week to Valdis Dombrovskis, the European Commission vice president responsible for financial services, to publicly criticise comments made by Patrick Pearson, head of unit, financial markets infrastructure at the commission, at an event in London.  Mr Pearson had said the US “fell for” an agreement it had struck with the EU in March in which they emphasised the need to trust local regulators and for sustained dialogue.

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What ‘Highly Unusual’ Markets Are Watching Into the Fed Decision

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What ‘Highly Unusual’ Markets Are Watching Into the Fed Decision – Bloomberg (subscription)

Wednesday’s Federal Reserve rate decision, set to be announced at 2pm New York time, carries more wild cards than most. While market participants don’t expect a rate cut this time around, they do see lower rates this year.

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Citi to Combine Rates, FX in Paco Ybarra’s First Major Reshuffle

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Citi to Combine Rates, FX in Paco Ybarra’s First Major Reshuffle – Bloomberg (subscription)

Citigroup is combining its foreign exchange and rates businesses into a single unit, two months after Paco Ybarra took over as head of the institutional-clients group. Itay Tuchman will continue to lead the currencies business, while Deirdre Dunn and Pedro Goldbaum will co-lead the rates businesses.

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