Top Headlines

Dollar Set for Best Weekly Gain in 2017; Euro Struggles – Reuters

The dollar is on track to post its best weekly performance so far this year as a bounce in US Treasury yields fuelled by the Trump administration’s tax plan triggered a shake out in multi-year short bets against the greenback.

Pound Slips After Soft UK Data – Financial Times (subscription)

Sterling came under pressure after the UK’s second-quarter growth rate was revised lower, and a housing report missed economists’ estimates.

Banks Begin Brexit Moves Despite Transition Call – Bloomberg

Big investment banks with their European headquarters in London are forging ahead with plans to create new trading hubs elsewhere in the region in preparation for Brexit despite the UK’s pledge to secure a two-year transition period after March 2019, according to people with knowledge of the situation.

Regulation Forces FXPBs to Reinvent – Profit & Loss

It’s no secret that recent regulatory requirements have put FXPB business models under increased pressure.

For Clues on Where the Dollar Is Heading Next, Look to Beijing – Bloomberg

China’s central bank may be playing an increasingly pivotal role in global currency markets.

Regulatory News

CFTC’s Giancarlo Signals Priorities; Focus on Swaps, Algos, Position Reporting – Reuters

Now, finally after some recent confirmations by the US Senate, the commission is nearing its intended size and is now signaling its priorities ahead.

CFTC Chairman Appoints Clearing and Risk Director – Reuters

US Commodity Futures Trading Commission (CFTC) Chairman J. Christopher Giancarlo appointed Brian Bussey to lead the agency’s clearing and risk division, according to a statement.

FCA Cautions Against Post-Brexit Shake-Up of Investment Rules – Financial Times (subscription)

The UK’s financial watchdog has fired a salvo against an attempt by European regulators to shake up the rules governing asset managers after Brexit.

Former SEC Chief Says Regulator Not Equipped to Take on Bitcoin – Reuters

Arthur Levitt, a former chairman of the US Securities and Exchange Commission, said he believed the regulator was ill equipped to deal with bitcoin, the digital currency that has seen a meteoric price rise, prompting concerns of a bubble.

SEC Hack a Bad Omen for CFTC – Wall Street Journal (subscription)

The recently disclosed hack of the SEC’s corporate-filing system sends an ominous signal to other government agencies.

Company News

Bitcoin Fund Pulls Listing Plan After Hitting SEC Roadblock – Financial Times (subscription)

Digital currency investment trust no longer headed to NYSE’s Arca trading platform.

Deutsche Bank’s Global Head of FX Forwards Exits – FX Week (subscription)

Mark Lewis leaves after spending 12 years at the German bank. 

Berkeley Researchers Build Flash Crash Early Warning Tool – Risk (subscription)

A group led by Berkeley university researchers has launched a start-up that aims to help traders spot a flash crash before one strikes.

Market Savvy

Renminbi Narrowly Averts Biggest Weekly Fall Since 2015 Tumble – Financial Times (subscription)

The renminbi narrowly averted its biggest weekly loss since Beijing triggered a sudden devaluation in August 2015, as China’s central bank encourages greater volatility to keep speculators off guard.

Hong Kong Dollar on Track for Monthly Gain as Overnight Loan Rate Hits Post-Crisis High – Financial Times (subscription)

The Hong Kong dollar was set to close out September firmer against its US counterpart as short-term borrowing costs in the Asian financial hub climbed to the highest level since the financial crisis ahead of a long holiday in China.