Top Headlines

BP Probes In-House Foreign Exchange Traders – Financial Times (subscription)
BP is investigating whether in-house financial traders at the oil and gas group were involved in a foreign exchange manipulation scandal that has led regulators to levy $4.3 billion in fines on six banks.

Traders Enjoy Best Year Since 2008 as Swings Return – Bloomberg
An index of foreign exchange returns has risen for the past six months, the longest stretch since 2005 and turning this year into the best since 2008. That marks a comeback for traders who, as recently as September, were facing a fourth year of losses as record-low volatility limited opportunities to make money.

Euro Dips to 29-Month Low as Greek Vote Sparks Anxiety – Reuters
The euro dipped to a 29-month low against the dollar on Tuesday as the announcement of a snap election in Greece threw the country into a fresh round of political turmoil.

Outlook 2015: A Welcome Return for Volatility? – Profit & Loss (subscription)
As usual, in the run-up to the New Year institutional economists and analysts have been working furiously to produce outlooks for the year ahead, trying to predict how various global events will affect different currencies.

Brazilian Real Leads Major Currency Advances After Budget Cuts – Bloomberg
Brazil’s real rose the most among major currencies as the government’s plan to save an estimated $6.7 billion a year by reducing some pension and jobless benefits eased concern that the nation faces a reduced credit rating.

CFTC Committee Makes Recommendations for FX NDF Clearing – Profit & Loss (subscription)
The US Commodity Futures Trading Commission’s (CFTC) sub-committee on foreign exchange markets has submitted a report to the global markets advisory committee (GMAC) with a number of recommendations regarding a clearing mandate for non-deliverable forwards (NDFs).

Bitcoin 2014 Review: Venture Capital, Fintech and Wall Street Push the Digital Currency Forward – LeapRate
The forex industry and regulators are still trying to make sense of the digital currency phenomenon; but it didn’t stop 2014 from being a year of wider adoption from venture capital money and Wall Street executives looking to bring the cryptocurrency out of the dark.



Regulatory News

Comment: Frontloading Certainty Paves Way for EU Clearing Mandate – ISDA
The first clearing obligations are already in place in the US and Japan, and the European Union is now set to follow with its first mandates next year. One of the sticking points has been the fine-tuning of the frontloading requirement – a rule unique to Europe that essentially requires certain trades conducted before the clearing obligation comes into effect to be subsequently cleared.



Company News

Dubai-Based FX Broker Fortress Prime Plans for UK FCA Licence – LeapRate
Fortress Prime delivers liquidity in FX, precious metals, commodities, global indices and CFDs. It utilises advanced MT4 and FIX API trading technology solutions in addition to advisory and operational services to brokers, professional clients, financial institutions and hedge fund managers globally.

Ukraine Launches Non-Deliverable Futures as IMF Prepares Next Visit – Forex Magnates
The Interbank Foreign Currency Exchange has launched non-deliverable futures trading on the Ukrainian hryvnia to the US dollar, the euro and the Russian ruble allowing implementation of hedging strategies.



Market Savvy  

Mysterious FX Cycle May Challenge Yen Bears in 2015
Yen bears betting that the Japanese currency will keep declining for a few more years could be wrong-footed based on a mysterious eight-year pricing cycle that has proved accurate over the past four decades.



Industry Events