Day 1 of US-China Trade Talks Ends with Hopes for Limited Deal – Reuters

Top US and Chinese negotiators wrapped up a first day of trade talks in more than two months on Thursday as business groups expressed optimism the two sides might be able to ease a 15-month trade war and delay a US tariff hike scheduled for next week.

Fed’s Mester: US Likely to Avoid Serious Downturn; Content to Keep Rates Steady – Reuters

The US economy will likely skirt a serious downturn despite current risks from trade and a slowing global economy, Cleveland Federal Reserve President Loretta Mester said on Thursday, arguing that absent evidence of a “material change” in the outlook the central bank should not cut rates any more.

Britain and Ireland See ‘Pathway to Agreement’ on Brexit – The Times

Boris Johnson can secure a Brexit deal as early as next week, the Irish prime minister claimed yesterday, with both men saying that they could now see the “pathway” to an agreement.

The World Economy’s Strange New Rules – The Economist

How rich-world economies work has changed radically, so must economic policy.

Japan Firms See ‘Abenomics’ Sputtering, Tax Hike Hurting Economy – Reuters

Japanese companies overwhelmingly think the nation’s longest postwar expansion is peaking, with two-thirds expecting a tax hike imposed this month by Prime Minister Shinzo Abe to hurt the economy, a Reuters poll showed on Friday.

ECB Minutes Show Lagarde Will Inherit a Fractured Institution –Wall Street Journal

Top European Central Bank officials squabbled over key elements of the bank’s latest monetary-stimulus package, according to minutes of its September policy meeting, underscoring the challenge incoming President Christine Lagarde faces in mending a rift that could threaten the eurozone’s faltering economic recovery.

Singapore Central Bank is Set to Join Global Policy Easing Tide – Bloomberg

Singapore’s central bank will probably ease monetary policy for the first time in more than three years as a global slowdown continues to weigh on the export-reliant economy.

California Governor Calls Widespread Electricity Shutdown to Prevent Fires ‘Unacceptable’ – Reuters

California Governor Gavin Newsom called a widespread electricity shutdown triggered by a power company to prevent wildfires “unacceptable,” saying it resulted from years of mismanagement by the utility.

Regulatory News

Fed Eases Post-Crisis Rules for Domestic, Foreign Banks – Reuters

The US Federal Reserve has unveiled a final package of rules easing capital and liquidity requirements for domestic US and foreign banks that were originally introduced following the 2007-2009 global financial crisis.

Netram Named Director of LabCFTC – Profit & Loss

Melissa Netram has been named the new director of LabCFTC.

Bankers Take Note: The FCA is Sending a Message on WhatsApp Deletions – Financial News

The case of Konstantin Vishnyak, a former VTB banker, shows the UK regulator is ready to use a firm hand where it suspects the destruction of evidence.

Tokyo Stock Exchange Head Hits Out at Foreign Investment Rule – Financial Times

The head of the Tokyo Stock Exchange has condemned a Japanese government proposal to sharply tighten rules on foreign investment as “idiotic” and a threat to Japan’s standing in global financial markets. 

FCA Unveils Illiquid Fund Rules Delayed by Woodford Saga – Financial News

New regulations will cover certain kinds of funds investing in ‘inherently illiquid assets’.

Crypto News

Is Bitcoin Dead? – Forbes

Disrupt is the “what is hot in Silicon Valley” conference. It was meant to be the biggest, best ever but it seemed pretty quiet for the exhibition of the beating heart of the new economy. There was little-to-no crypto in evidence; certainly it was not there as the next big thing. There was pretty much zero crypto buzz happening and there seemed to be more sighing than grinning when it came up in conversation.

B2C2 Launches Gold-Bitcoin Cross – Profit & Loss

Cryptocurrency liquidity provider B2C2 has launched the market’s first product for trading gold directly against Bitcoin.

Perth Mint Goes Crypto – Australian Financial Review

Perth Mint has teamed up with a team of scientists in Sydney to come up with the first digital gold token on a public blockchain backed by a government-guaranteed gold.

CFTC Chairman Confirms Ether Cryptocurrency is a Commodity – Coin Desk

CFTC Chairman Heath Tarbert has said ether, the world’s second-largest cryptocurrency by market capitalization, is a commodity.

A United Nations Agency Has Launched a Crypto Fund – NewsBTC

The adoption and widespread use by the mainstream public are vital for crypto and Bitcoin to eventually reach its full potential. Acceptance from global government entities is nearly as important, as they wield the power to prevent the asset class from developing further.

Company News

Boardman Joins RBC – Profit & Loss

Richard Boardman has joined RBC in London as a managing director, head of financial institutions. 

New Hedge Funds Survive Better in Asia Than the US – Bloomberg

New hedge fund firms have a higher rate of survival in Asia than the US, according to an internal study by Goldman Sachs.

Euronext Targets Data and Private Markets in New Strategic Plan – Financial Times

Euronext plans to push deeper into data, private markets and sustainable investing as part of a new three-year strategic plan it has published.

US Clearers Move to Dole Out Losses Besides Default – Risk

A long-simmering debate in the clearing world on who should swallow losses that have nothing to do with defaults got a new jolt as two US clearers proposed ways of divvying up part of those costs among their members.

Market Savvy

Markets Dance to Trump’s Trade Tunes – Reuters

The ebb and flow of trade tensions between the United States and China has roiled financial markets for months, and with the December deadline for higher US tariffs on Chinese goods approaching fast no asset class is immune to trade-related risks.

Why Investors See Inflation as a Very British Problem – Financial Times

All around the world, fund managers appear to be gearing up for an era of low inflation. Unless, that is, they are investing in the UK.

How QE Might Work in Australia – Australian Financial Review

Those who dismissed it are now confidently asserting how it will work. They are wrong – it will have to be customised to local conditions, which will make it different to the US and Europe.

US Payrolls Revisions are More Reliable, Fed Study Shows – Bloomberg

Revisions to monthly US payrolls figures have become more reliable over the short term while those on industrial production have become less so, according to a Federal Reserve study that finds that policy makers could build such evolutions into their real-time assessments of the economy.