Top Headlines

Dollar Slips vs Yen After US Launches Missile Strikes on Syria – Reuters

The dollar skidded against the safe-haven Japanese yen after the United States launched cruise missiles at an airbase in Syria, raising concerns of a sharp escalation in the Syrian civil war.

Here’s What Trump’s Syria Strike Did to Markets, as Impact Eases – Bloomberg

Traders were preparing for an important day, with the key US monthly jobs report and the first Sino-American summit since Donald Trump took office set to offer direction.

Resilience of the Pound Spurs Divergent Outlook Among Analysts – Financial Times (subscription)

When the history of Brexit is eventually written, the spring of 2017 may come to be known as a turning point, particularly for the pound.

‘Euro is Cheap’ But Pound Should Keep Falling: UBS – Financial Times (subscription)

Political worries have left the euro looking cheap but still haven’t had enough impact on the pound, according to UBS, which thinks sterling could drop another nine per cent against the dollar this year.

Stronger Euro Prompts Investors to Reconsider Hedging – Euromoney

This year has been a good one for the eurozone economy, with business confidence, credit growth and economic activity set to hit a six-year high in the first quarter.

Banks Raise Objections in South Africa’s FX Rigging Case: Sources – Reuters

Some of the banks South African regulators have alleged rigged the rand currency say the case against them lacks specific detail about anti-competitive conduct and its impact, three sources with direct knowledge of the matter said.

Two Ex-Barclays Libor Traders Cleared of Rigging Charges – Bloomberg

Two former Barclays Libor traders were acquitted by a London jury of manipulating the key interest-rate benchmark following a six-week trial, ending another chapter in a case that has cost firms $9 billion.

Careful Planning Minimises Czech Bounce – Financial Times (subscription)

The Czech National Bank can teach the world’s heavy-hitting central banks a thing or two, it seems.

Currency ‘Misalignment’ Gains Stature in Trump Trade Plans: Official – Reuters

President Donald Trump promised to label China a currency manipulator on his first day in office, but after 77 days, his administration is touting a new term: “currency misalignment.”

Renminbi Weakens Past Rmb6.9 Against Dollar After US Strike on Syria – Financial Times (subscription)

China’s currency weakened past the Rmb6.9 per dollar mark and to the softest level since March 21 on reports the US had launched a missile strike on Syria.

Japan’s Aso Says Dialogue with Pence Not Limited to Trade and Currencies – Reuters

Japanese Finance Minister Taro Aso said that the agenda for his meeting with US Vice President Mike Pence this month is not limited to trade and currencies.

Mexican Peso’s Top Analyst Says Worst Is Over Even If Nafta Dies – Bloomberg

Mexico’s peso won’t return to the record lows it reached this year even if the US makes good on threats to undo the trade agreement that transformed Latin America’s second-largest economy into an export powerhouse, according to the currency’s top forecaster.

Swiss Reserves Swell Again to New Record – Financial Times (subscription)

With the reliability of a finely-tuned watch, the latest release of foreign-currency reserves held at the Swiss National Bank has shown yet another record, in a sign the central bank continues to swim against the tide.

Thailand to Trump: We Don’t Manipulate Baht for Trade Gains – Bloomberg

Bank of Thailand Governor Veerathai Santiprabhob said there’s no evidence authorities are manipulating the currency to give exports an unfair advantage, responding to the US’s decision to investigate the Southeast Asian nation for possible trade abuse.

Asian Currencies Set to Slip Over Next Year on Tighter Fed Policy – Reuters

Emerging Asian currencies are expected to lose ground in the year ahead as monetary tightening from the Federal Reserve gathers pace, but uncertainty on future US trade policy will cap dollar gains, a Reuters poll found.

Regulatory News

Congress Urged to Curb Fed’s Regulatory Powers – Risk (subscription)

House hearing revives debate on consolidating US regulatory agencies.

MiFID II – A Week of Clarifications – The Trade

The European Securities and Markets Authority (ESMA) has been very active this week, publishing several Q&A style reports in an attempt to answer the remaining burning questions about MiFID II implementation.

SEC: MiFID II Is a Conflict We Didn’t Create – IFLR (subscription)

To the dismay of the market, the Securities and Exchange Commission (SEC) remains unable to clarify how and when it will offer relief to the US sell side when MiFID II comes into play.

Buy-Side Split on MiFID II Liquidity Impact – The Trade

The buy-side is evenly split in their approaches to increasing, reducing and sustaining the number of liquidity providers they work with as a result of MiFID II, according to a survey.

Brokers Face Higher ‘Best Ex’ Bar – Markets Media

Seeking an objective definition for a subjective concept like “best execution” is never easy.

Company News

GTX Partners with Ideal Prediction – Profit & Loss (subscription)

Ideal Prediction looks to take a bespoke approach to offering trading analytics.

Amundi Questions Multiple Trade Repositories – Markets Media

Amundi, the European asset manager, has questioned the need for several trade repositories and suggested that a non-profit firm would be a sensible a solution.

Citigroup, Barclays Main Winners in US FCM Data – FOW (subscription)

Barclays and Citigroup saw the biggest rises in their US futures brokerage books in February, while UBS and Credit Suisse saw significant drops in their client business.

IPC Partners TransFicc for Low-Latency Links to Multiple Venues – FX Week (subscription)

TransFicc’s API simplifies the process of connecting to new trading venues and handling vast amounts of data.

ICE to Clear Single-Name Bank CDSs from April 10 – Risk (subscription)

US participants will be able to start clearing CDSs referencing ICE clearing members.

Market Savvy

Rouble Rumbled After Syrian Air Strikes – Financial Times (subscription)

The rouble dropped more than one per cent despite a sharp rise in the price of oil, as a US airstrike on the Syrian government highlighted growing tensions between the US and Russia.

South Korean Won, Taiwan Dollar Sag After US Strikes on Syria – Reuters

The South Korean won and Taiwan dollar dropped to three-week lows against the US dollar, as investors turned to safe-haven assets after the United States launched cruise missiles against an airbase in Syria.

South Africa’s Bank Shares Lead Stocks Down, Rand Recovers – Reuters

The rand firmed slightly, after tumbling more than 11 percent since March 27 when President Jacob Zuma ordered then finance minister Pravin Gordhan to return home from overseas meetings with investors, days before dismissing him in a cabinet reshuffle that triggered the downgrade.