Top Headlines 

EU Commissioner Rules Out Mifid II Deadline Extension – Financial Times (subscription)

The EU’s top financial services official has ruled out any further extension of the January 3, 2018 deadline for markets to comply with a sweeping overhaul of trading rules.

Dollar Edges Up as Fed, Tax Reform News Awaited – Reuters

The dollar edged higher, as markets awaited further news on the possible appointment of a hawk as Fed chair and progress on US tax reforms.

Sterling Dips After UK Wages Data – Reuters

Sterling got only a temporary boost from data showing British wage growth edging above forecasts, rising briefly against the dollar before turning lower.

China Has ‘Halted Intervention in Yuan Exchange Rate Market’ – South China Morning Post

Market now largely deciding level of nation’s currency, says central bank official, after sustained campaign by authorities to prop up its value amid flow of funds overseas.

Bernanke: Geopolitics is the Biggest Risk to the Financial System – Profit & Loss

Geopolitics represents the single biggest threat to financial markets, warned Ben Bernanke, former chairman of the US Federal Reserve, at an event in Toronto.

Not Even Mexico Can Interrupt the Emerging Markets Love-In – Financial Times (subscription)

Investors have remained confident in the face of potential difficulties.

London Stock Exchange Chief: ECB’s New Euro Clearing Rules Will Cost Investors €20bn – City AM

New supervision rules on euro clearing proposed by the European Central Bank (ECB) will cost investors €20bn (£17.8bn), the chief executive of the London Stock Exchange has said.

Brexit Will Give the Derivatives Market a Nasty Headache – The Economist

The legal status of thousands of contracts may be thrown into doubt.

European Fund Managers May Flee UK After Brexit, Survey Says – Bloomberg

Just 42% of EU nationals plan to stay in UK, CFA survey shows.

Five Ways Banks Are Using Blockchain – Financial Times (subscription)

Clearing and settlement, trade finance and syndicated loans are ripe for modernising.

Regulatory News

Wall Street Poised to Get a Key SEC Reprieve Over MiFID – Bloomberg

The US Securities and Exchange Commission is preparing to give Wall Street a reprieve by telling financial firms they won’t have to overhaul their operations to comply with sweeping new European rules governing investment research, said three people familiar with the matter.

Trump to Meet Yellen Thursday in Search for New Fed Chair: Source – Reuters

US President Donald Trump will meet with Federal Reserve Chair Janet Yellen as part of his search for a new candidate for her position, a source familiar with the planned meeting said.

CFTC Issues a Primer on Virtual Currencies – Ethnews

An educational tool on cryptocurrencies has been published by the Commodity Futures Trading Commission’s LabCFTC arm.

Bitcoin Gets Official Blessing in Japan – Financial Times (subscription)

Entrepreneurs do not often welcome regulation. For Japanese cryptocurrency start-ups, however, a framework put in place by the country’s financial authorities has been a boon.

Company News

Reidy Handed New Role at HotspotFX – Profit & Loss

Paul Reidy has been appointed as COO of HotspotFX. Prior to this, he had been working for the platform as head of FX technology.

SGX Expands US Presence – Profit & Loss

Singapore Exchange (SGX) has expanded its US presence, opening SGX America in Chicago.

Digital Asset Closes $40m Funding Round, Announces Senior Hire – Profit & Loss

Digital Asset announced that it has raised over $40 million of Series B financing from existing and new investors, led by Jefferson River Capital.

BBVA, Bancomer Pilot FX Blockchain Application – Profit & Loss

BBVA and BBVA Bancomer are piloting an FX matching application developed by Calypso Technology and R3.

CME Explores Logging Trade Transactions on Blockchain System – Coin Desk

New patent filings from Chicago Mercantile Exchange (CME) highlight how the firm might use blockchain to store and execute financial transactions.

Market Savvy 

Mexican Peso’s Stellar Run Hit by Nafta Fears – Financial Times (subscription)

Breakdown in talks on free-trade agreement seen to put more pressure on currency.

Asian Currencies Muted, Eye China’s Communist Party Congress for Yuan Clues – Reuters

Asian currencies were subdued as investors waited for any clues on the outlook for China’s foreign exchange policy from a key Communist Party Congress.

CEE Markets: Currencies Firm Ahead of Polish Economic Data – Reuters

Central European currencies extended their gains ahead of a batch of Polish economic figures due later and which are expected to show continued robust economic growth in the region.