Top Headlines

China Central Bank Head Says Opposes Competitive Currency Depreciation –Reuters

China opposes competitive currency depreciation and there should be increased global coordination on foreign exchange policies, central bank governor Zhou Xiaochuan said on Thursday.

Why It’s Too Early to Declare An End to The Currency Wars – MarketWatch

There may be a “lull” under way in the currency wars that have seen the world’s central banks taking action to weaken their currencies in a bid to gain an advantage against their global trading counterparts.

NY Fed-FX Swaps With Foreign Central Banks Total $53 Million in Latest Week – Reuters

The Federal Reserve provided $53 million of liquidity to foreign central banks in the latest week via its swap lines for foreign central banks, the New York Fed said on Thursday.

Tullett Prebon says Shareholders Approve ICAP Deal – Reuters

Tullett Prebon shareholders have approved at EGM, by way of poll, both resolutions set out in part XXV of prospectus.

Clipped: The Downside of Funds That “Hedge” Currencies – The Salt Lake Tribune

Investors scrambled last year to get into a new breed of exchange-traded funds, ones that own foreign stocks and use complicated trading strategies to insulate investors from the swings created by changing currency values. But a year after this new style of ETFs drew billions of dollars and become one of the hottest trends in investing, some investors are now leaving after seeing the strategy’s downside — and locking in losses.

Dutch Central Bank to Create Prototype Blockchain-Based Currency –CoinDesk

The Dutch central bank has committed to developing an internal blockchain prototype dubbed “DNBCoin”, according to a recent publication.

Regulatory News

MiFID 2: PRA Issues Consultation Paper – Lexology

Currently, the MiFID 2 package is still scheduled to take effect on 3 January 2017. Member States are supposed to have finalised necessary changes to domestic laws by 3 July 2016. It is now clear the application deadline will not be met, because of a combination of the European Commission having failed to meet its deadlines to produce level 2 legislation and endorse technical standards ESMA had produced, and significant concern that firms and trading venues would not have long enough from the time all relevant standards were finalised to put in place necessary policies and procedures

EMIR: ESMA Publishes Practical Guidance on Third Country CCPs – Lexology

ESMA has published practical guidance on its recognition of third country CCPs under EMIR. The guidance covers phases in the application process including: (i) communications with ESMA prior submission, submission and ESMA’s acknowledgement of the receipt of an application; (ii) information on the calculation of deadlines set by ESMA; (iii) assessment of completeness, requests for additional information and notification of completeness; (iv) ESMA’s decision on the recognition application; and (v) publication on ESMA’s website.

Company News

Yuan’s Fall Drags Down Some Chinese Companies – Wall Street Journal (Subscription)

A weaker Chinese currency has roiled global markets and heightened worries about the state of the world’s second-largest economy. Now, some Chinese companies are reporting they’ve taken a hit from a depreciating yuan.

Market Savvy  

Currencies Take Center Stage in a Central Bank World – Bloomberg

Nandini Ramakrishnan, global market strategist at JPMorgan Asset Management, and Robin Niblett, director at Chatham House, discuss the sensitivity of currencies to central bank policies and the strength of the U.S. dollar. They speak on “Bloomberg Surveillance.”

Latam Currencies Fall on Commodities Slump, US Rate Hike Speculation –Reuters

Latin American currencies weakened across the board on Thursday on lower commodity prices and heightened speculation that a Federal Reserve interest rate hike could come as early as next month.

Dollar Rises Against Most Peers – Wall Street Journal (Subscription)

The dollar rose modestly against most peers Thursday, extending its winning streak for a fifth consecutive day as investors adjusted positions heading into the holiday weekend.

Press Releases

SWIFT and CIPS Co. Sign Memorandum of Understanding on Cross-Border Interbank Payment System Cooperation

SWIFT has signed a memorandum of understanding (MOU) with China International Payment Service Corp., (CIPS Co.). The MOU sets out plans for a strategic collaboration to develop China’s Cross-border Interbank Payment System (CIPS) using SWIFT as the secure, efficient and reliable channel to connect CIPS with SWIFT’s global user community. SWIFT Chief Executive of Asia Pacific and EMEA, Alain Raes and CIPS Executive Director, Li Wei signed the MOU in Beijing on 25th March 2016.

Industry Events

FOW: Derivatives World, 12-13 April in Hong Kong
FX Week FX Invest North America, 12 April in Boston, MA
Profit & Loss Forex Network London, 14 April in London, UK
Profit & Loss Latin America, 20 April in Mexico City
ACI World Congress 2016 – Indonesia, 26-30 April, Jakarta
Eurofinance:  Asia Treasury, 18-20 May in Singapore
Profit & Loss Forex Network New York, 26 May, New York City
FIA: IDX 2016, 7-8 June in London, England
Profit & Loss Scandinavia, TBD September, Copenhagen
Profit & Loss Forex Network Chicago, 28-29 September, Chicago, IL
Sibos 2016, 26-29 September in Geneva, Switzerland
FIA: Expo, 18-20 October in Chicago, IL