Top Headlines

Central Bankers Urge Fed to Get On With Interest-Rate Increase – Wall Street Journal (subscription) Many officials at IMF meeting in Lima, Peru, say they would prefer certainty over agony of waiting.

Barclays Publishes Last Look Criteria  – Profit & Loss At the same time as sources tell Profit & Loss that US authorities are renewing their investigation into last look, Barclays has issued a document laying out how it uses the practice.

What Does MiFID II Mean for FX Markets? – Profit & Loss The final technical standards (TS) for the Markets in Financial Instruments Directive (MiFID II) were published at the end of September, but what does this major piece of European regulatory reform mean for the FX industry?

Chinese FX Reserves Data Add to First Signs of Stabilization – Econotimes In China, data for FX reserves added to signs that the Chinese business cycle is bottoming. FX reserves fell by USD43.3bn, which was less than expected and a much smaller decline than in August, when reserves fell a record USD93.9bn.

NY Fed: HFT Strategies are Causing Liquidity Mirage – Profit & Loss High-frequency trading (HFT) strategies are contributing to liquidity mirages in the US Treasury markets, according to new research from staff at the Federal Reserve Bank of New York.

ECB Stimulus Talk Pledges Euro-Area Shield From Global Gloom – Bloomberg Mario Draghi is reminding the world that the euro area has a trillion-euro comfort blanket.

Banks Hit With Another Disappointing Trading Season – Wall Street Journal (subscription) Although third-quarter bond-market trading volumes are flat with a year ago, big-bank trading revenues will likely fall.



Regulatory News

Managers Would be Rash to Presume Their Own Innocence – eFinancialNews (subscription) Several years on from the global banking crisis and the clamour from the media and politicians for more demonstrable senior individual accountability shows no signs of abating.

Basel Regulators Make U-turn on Banks’ use of Credit Rating Agencies – Reuters Global banking regulators have decided to allow lenders to keep using credit rating agencies to help them determine how much capital they need to hold to cover the risks of borrowers getting into trouble.

IOSCO Considers Tougher Standards for Funds’ Liquidity Risk – Mlex (subscription) International financial regulators are giving more attention to the need for better guidance for the management of liquidity risk by investment funds.   Dodd-Frank Turns Five – Citadel Conversations Snapshot Five years after it was signed into law, the impact of Dodd-Frank continues to be a hot topic of debate in the derivatives market.



Company News

UK Start-up Claims Blockchain Breakthrough in Payment Processing – FT.Com (subscription) A UK start-up has claimed a breakthrough in the financial services industry’s attempts to turn the technology behind bitcoin into a large-scale workable model by processing more than a billion potential payments a day.

LME Makes Informal Approach to Buy London’s Baltic Exchange – Reuters The London Metal Exchange has made an informal approach to the Baltic Exchange, the hub of the global shipping market, to acquire the entire business, two sources familiar with the matter told Reuters.

Credit Suisse Plans Up to 2 Billion Francs Cost Cuts, SaS Says – Bloomberg Credit Suisse Group AG has “well advanced” plans to cut costs by 7 percent to 10 percent, which would translate into an annual reduction of as much as 2 billion Swiss francs ($2.1 billion) for the group.



Market Savvy  

Retail FX Remains Net-Long USD/CAD Despite Fresh Monthly Low – Daily FX Despite the limited market reaction to the 12.1K expansion in Canada Employment, USD/CAD remains at a risk for a further decline in the week ahead as it presses fresh monthly lows.

Dollar Languishes Near 3-Week Lows; Aussie Retreats – Reuters The dollar hovered near a three-week low versus a basket of major currencies on Monday, hampered by doubts that the U.S. Federal Reserve will raise interest rates by year-end.

One Way Emerging Markets Are Shooting Themselves in the Foot – Bloomberg The founder of research firm Ecstrat highlights a structural reason for the underperformance of the asset class.



Press Releases

LCH.Clearnet Leverages Swift for Standardised Margin Call Messages – Profit & Loss LCH.Clearnet will be the first central counterparty (CCP) to use standardised MX messages over Swift to notify clearing members of margin calls.



Industry Events