Top Headlines

China Has No Plans to Devalue Yuan, Vice President Li Says – Bloomberg China’s vice president underlined the Communist leadership’s pledge to avoid pursuing a policy of devaluation of the yuan, after criticism that his nation’s policy makers haven’t been clear on their intentions with the exchange rate.

Soros Says China Hard Landing Will Deepen the Rout in Stocks – Bloomberg Billionaire investor George Soros said China’s economy is headed for a hard landing, a slump that will worsen global deflationary pressures, drag down stocks and boost U.S. government bonds.

Convict Libor Brokers Only If They Played ‘Significant’ Role, UK Jury Told – Reuters Jurors in Britain’s second Libor trial were instructed on Thursday not to convict the six former brokers in the dock unless evidence showed they played a “significant” part in an alleged plot to help convicted trader Tom Hayes rig the benchmark interest rates.

Draghi Readies for ECB Action in March as Global Risks Escalate – Bloomberg Mario Draghi set the euro area up for expanded monetary stimulus for the third time in a year as China’s economic slowdown and market volatility threaten to derail the region’s recovery.

Squeezed Bank Dealers Quit European Government Bond Markets – Reuters A rise in the number of banks giving up primary dealer roles in European government bond markets threatens to further reduce liquidity and eventually make it more expensive for some countries to borrow money.

The Evolving Nature of the Fixed Income Markets – Profit & Loss The Bank for International Settlements (BIS) released two new reports, highlighting the structure and liquidity of fixed income markets and finds that while recent market changes do not appear to have had a negative effect on liquidity, in times of stress, arguably when the need for liquidity is at its greatest, liquidity conditions can deteriorate.

FX Volatility Wreaks Havoc on UK Corporate Treasurers – Euromoney Businesses will need to closely manage their exposures to currencies this year to avert losses, as notable exchange-rate moves this month are already threatening to eat into profits, warn foreign-exchange experts.

Norway to World: We’re Sitting Out the Big Wealth Fund Selloff – Bloomberg The world’s biggest wealth fund won’t be joining its counterparts in a selloff that’s hurting already depressed markets.



Regulatory News

Trader Talk in Currency-Rigging Suit Draws Scrutiny From US – Bloomberg Investors’ pursuit of the world’s biggest banks in a civil lawsuit over currency trading reveals details about trader conduct that has also drawn the scrutiny of US prosecutors.

NFA Vote Settles Controversial Board Election – Profit & Loss The National Futures Association (NFA) has announced the results of a board election that had become mired in controversy in recent months.



Company News

Digital Asset Closes $50m Funding Round – Profit & Loss Digital Asset Holdings, a developer of distributed ledger technology has raised more than $50 million in funding from a broad range of financial services firms.

J.P. Morgan to Workaholics: Knock It Off – Wall Street Journal (subscription) Part of initiatives to improve work-life balance.

Goldman Sachs Makes U-Turn on Euro Forecast After Just Six Weeks – Bloomberg Goldman Sachs Group Inc. is revising its euro forecast for the second time in six weeks.



Market Savvy  

Global Stocks Propelled by Oil Bounce – Wall Street Journal (subscription) Expected stimulus from central banks drives equities higher.

Battered Emerging Markets Race to Stem Outflows – Wall Street Journal (subscription) A number of emerging markets are taking a risky approach to dealing with growing pressure on their currencies: They’re trying to ban it.

Offshore Yuan Heads for Weekly Gain After PBOC Steps Up Defense – Bloomberg The offshore yuan headed for a second weekly advance after Chinese authorities stepped up their defense of the currency amid capital outflows and a slowing economy.



Press Releases

ISDA Interest Rate Derivatives Market Analysis: 67% of Notional Cleared; Compression Reduces Market Size by 62% Clearing and portfolio compression are having an increasingly significant effect on the interest rate derivatives market.



Industry Events