Top Headlines

CBOE Closes Bats Acquisition – Profit & Loss

CBOE Holdings (CBOE) announced the completion of its acquisition of Bats Global Markets in a cash and stock transaction valued at approximately $3.4 billion (based on the closing price of CBOE shares on February 28).

Dollar Gains After Fed’s Brainard Hints at Early Rate Increase – Wall Street Journal (subscription)

The dollar gained against the yen and euro during early Asia trade, after the latest hawkish remarks from a Federal Reserve official further fueled expectations that the next US rate increase will come at the Fed’s March policy meeting. 

Sterling Hits Six-Week Low as UK Data Paints Mixed Picture – Reuters

Sterling slipped to a six-week low against the dollar after data painted a mixed picture of Britain’s economic outlook, with the construction industry picking up slightly in February but new orders slowing.

Mexico Peso Firms as Trump Adopts Restrained Tone – Reuters

The Mexican peso strengthened after US President Donald Trump took a conciliatory stance in a key speech, backing away from his harsh campaign rhetoric.

Australian, New Zealand Dollars Fall Against US Counterpart – Reuters

The Canadian, Australian and New Zealand dollars all slipped against their US counterpart in a burst of morning selling in Europe, pressured by broad dollar strength and lower oil prices.

Switzerland’s Economy Is Still Fighting Currency Indigestion – Bloomberg

Two years after Switzerland suffered a surge in the franc, the currency is still proving a challenge.

Taiwan Sits Out Forex Intervention to Duck Trump Blast – Reuters

Taiwan’s central bank, fearful of being labeled a currency manipulator by US President Donald Trump, has pulled back on intervention to weaken the Taiwan dollar, making it Asia’s second best-performing currency in 2017.

Yuan, Rupee Outlook Sours on Fed Interest Rate Hike Bets – Reuters

The Chinese yuan and the Indian rupee are expected to weaken, although less than previously thought, reversing recent gains as rising chances of a US interest rate hike this month boost the dollar, a Reuters poll found.

Bitcoin ‘Creator’ Races to Patent Technology with Gambling Tycoon – Reuters

The man who last year made global headlines by claiming to be Satoshi Nakamoto, the creator of bitcoin, is working with a fugitive online gambling entrepreneur to file scores of patents relating to the digital currency and its underlying technology, blockchain.

An AI Hedge Fund Created a New Currency to Make Wall Street Work Like Open Source – Wired

This morning, the 29-year-old South African technologist and his unorthodox hedge fund, Numerai, started issuing a new digital currency—kind of.

Regulatory News

White House Withdraws Pair of Obama Nominees for CFTC – Wall Street Journal (subscription)

The Trump administration has quietly withdrawn the nominations for a pair of vacancies on the Commodity Futures Trading Commission, ending consideration of the two individuals renominated in the waning days of the Obama administration.

SEC Opens Door to Overhaul of Bank Disclosure Rules – Wall Street Journal (subscription)

The Securities and Exchange Commission voted to seek public input on potential changes to rules governing what the banking industry is required to tell investors.

Hazy Guidance Causes Chaos on First Day of VM Regime – Risk (subscription)

Confusion reigned on the first day of the variation margin regime for non-cleared derivatives as dealers struggled to interpret last-minute regulatory guidance aimed at averting a market shutdown.

German Finance Ministry Plans MiFID Prop Exemption – FOW (subscription)

The German ministry of finance has proposed in its draft bill to implement MiFID II into German law a clause that could exempt non-European prop trading firms from registration for at least one year.

Israel’s Shekel Becoming More Over-Valued: Central Bank Deputy Governor – Reuters

The shekel has become more over-valued recently and does not reflect the real strength of the Israeli economy, the deputy central bank chief said, adding that the bank will continue to buy foreign currency to try to soften the shekel.

Indian Central Banker: Potential of Blockchain Currencies ‘Overstated’ – Coindesk

The potential of digital currencies like bitcoin is “being overstated”, a senior official for the Reserve Bank of India said.

Company News 

Nex Optimisation Appoints MEP to Think Tank Role – Profit & Loss

Nex Optimisation, the Nex Group company established to help clients reduce complexity and optimise resources across the transaction lifecycle, has announced the launch of Nex Reg, a think tank focused on regulatory and market structure issues.

Sucden Appoints Singh Amid FX Expansion Plans – Profit & Loss

Sucden Financial has appointed Noel Singh as head of e-FX business development, where he will lead the firm’s growth of its non-bank FX prime brokerage business.

FXCM Repays $238 Million to Lender Leucadia, Has $155 Million in Outstanding Payments – SMN Weekly

Forex Capital Markets (FXCM) has $155 million outstanding payment to US lender Leucadia National Corp. in the form of principal, interest and fees, according to a shareholders’ letter issued by the bank.

Market Savvy 

C$ Hits Five-Week Low as Dovish Bank of Canada Weighs – Reuters

The Canadian dollar weakened to a fresh five-week low against its US counterpart, pressured by bets the Federal Reserve could hike US interest rates in March and a cautious tone from the Bank of Canada.

Dollar, Politics, Push Turkish Lira One Percent Lower – Reuters

The Turkish lira fell more than one percent, underperforming emerging market peers on back of dollar strength, Syria-related security worries and fears of more discord between the government and media.

Egypt’s Pound Weakens as Importers Prepare for Ramadan – Reuters

The Egyptian pound weakened as importers geared up for the Islamic holy month of Ramadan and foreign currency inflows into banks declined, bankers and economists said.