Top Headlines 

Dollar Starts Week Under Shadow of Underwhelming Data, North Korea – Reuters

The dollar started the week on the defensive after US economic data came in shy of expectations and another missile test by North Korea at the weekend underpinned the perceived safe-haven yen. 

Dollar Bulls Approaching a Well-Known Wall After Impressive Run – Bloomberg

After profiting from a world-beating rally, dollar bulls find themselves at risk of being back at square one again when it comes to sustaining gains against the yen. 

Rebound in Pound Prompts Revival in Hedging – Financial Times (subscription)

Forex advisers report pick-up in activity as finance directors reassess budgets.

French Election: Spot Market Calmer Second Time Round – Profit & Loss

Data from CLS shows that the first round of the French presidential election caused a much stronger reaction in the spot FX market than the second round.

LMAX Exchange Challenges Conventional Wisdom on TCA – Profit & Loss

A new white paper released today by LMAX Exchange seeks to offer more in-depth analysis of the cost of trading in FX markets and calls for the creation of “robust, commonly-agreed” transaction cost analysis (TCA) metrics that compare and contrast the differences between executing on firm and last look liquidity.

Russia’s Putin Says No “Artificial Measures” to Control Rouble Rate Planned – Reuters

Russian President Vladimir Putin said authorities plan no “artificial measures” to control the rouble exchange rate.

The Bundesbank Just Made It Harder to Move to Frankfurt After Brexit – Bloomberg

Germany’s Bundesbank has just made life harder for the banks that are considering Frankfurt as their new European Union base after Brexit.

Bitcoin’s Surge Fuels Fears of Asset Bubble – Financial Times (subscription)

Value of unregulated crypto currencies bursts through $50bn.

Regulatory News

White House Nominates Former House Aide for Republican CFTC Vacancy – Wall Street Journal (subscription)

The White House tapped Brian Quintenz, a former House aide and investment manager, to fill a Republican vacancy on the Commodity Futures Trading Commission, the second time Quintenz has been nominated for the slot.

Mnuchin Said to Start Review That Could Ease Volcker Rule’s Bite – Bloomberg

The Trump administration is quietly helping Wall Street in its campaign to chip away at the toughest trading restriction imposed on banks after the financial crisis.

Can the OCC Reinterpret the Volcker Rule on Its Own? – American Banker (subscription)

Acting Comptroller of the Currency Keith Noreika is floating the possibility of unilaterally reinterpreting an interagency ban on proprietary trading, but there are doubts about how far the agency can move on its own and whether that would be a good idea.

FINRA Seeks to Strengthen Penalties on Repeat Offenders – Profit & Loss

The US Financial Industry Regulatory Authority’s (FINRA) board of governors has approved the next step in what it terms its ongoing initiative to strengthen controls on brokers with a history of significant past misconduct.

Banks Weigh MiFID II Pre-Trade Price Publication Venues – Risk (subscription)

Anonymity will be key factor in final decision, say dealers.

CFTC Head Urges Bank Capital Overhaul – International Finance Review (subscription)

Christopher Giancarlo has called on global regulators to recalibrate bank capital requirements in a bid to restore market liquidity and avoid “flash” trading events.

New York’s Vullo Says Regulation Not a ‘Curse Word’ – Reuters

Regulation should not be considered a “curse word” and is needed more than ever to head off financial threats, despite President Donald Trump’s attacks on government red tape, New York’s financial services regulator said.

Company News

Nex Group Reports Revenue Growth – Profit & Loss

Following the disposal of Icap Global Broking to Tullett Prebon, the re-branded Nex Group has reported an increase in revenue for the financial year 2017, which ended on March 31.

TraderTools Reports Volume Growth – Profit & Loss

Although it does not provide specific numbers, TraderTools says that Q1 2017 volumes across its Unique Liquidity Network (ULN) were 217% above Q4 2016 volumes.

Sucden Targets Growth Through Diversity – Profit & Loss (subscription)

Despite having an FX franchise that is over 30 years old, an e-FX offering that has been around for more than eight years and a balance sheet of over $100 million, Sucden Financial is not exactly a household name in the wholesale FX market.

‘Standstill’ Agreement Gives trueEX a Lifeline – Risk (subscription)

Temporary deal allows start-up Sef to continue operations until at least July 29.

Market Savvy 

Canadian, Aussie Dollars Driven Higher by Oil Boost – Reuters

The Canadian dollar hit its highest level in two weeks and the Australian dollar a 10-day high as a bounce in oil prices drove a recovery in major commodity-linked currencies.

South Africa’s Rand Poses Big Problems for Currency Traders – Financial Times (subscription)

Investors need thick skins, acute awareness of risk and a good knowledge of the politics of the ruling ANC.

CEE Stocks, Currencies Extend Gains Ahead of GDP Data – Reuters

Central European stocks touched multi-year highs on expectations that first-quarter regional economic output data due will show robust growth, though profit-taking later caused shares to retreat.