EU Hopes to Endorse Brexit Delay to January 31 with Earlier Departure Possible – Reuters

The 27 European Union countries that will remain after Brexit hope to agree on Monday to delay Britain’s divorce until Jan.31 with an earlier departure possible should the factious UK parliament ratify their separation deal, sources said.

British Government Steps Up Pressure on Parliament over Election Vote – Reuters  

Boris Johnson’s government stepped up pressure on lawmakers to back the prime minister’s bid to hold an early election and break the Brexit impasse, saying Britain was being held “hostage” by parliament.

US, China say They are ‘Close to Finalising’ Part of a Phase One Trade Deal – Reuters

US and Chinese officials are “close to finalising” some parts of a trade agreement after high-level telephone discussions on Friday, the US Trade Representative’s office and China’s Commerce Ministry said, with talks to continue.

Argentina’s Peronists Sweep Back Into Power As Macri Ousted – Reuters

Argentina’s Peronists swept back into power on Sunday, ousting conservative president Mauricio Macri in an election result that shifts Latin America’s No. 3 economy firmly back toward the left after it was battered by economic crisis.

Lagarde to Get Harsh Snapshot of the ECB’s Economic Challenges – Bloomberg

Christine Lagarde is about to get a harsh snapshot of the challenges that face her when she takes up the European Central Bank presidency this week.

Merkel Coalition Battered as Germans Turn on Mainstream Parties – Bloomberg

Chancellor Angela Merkel’s coalition faced a renewed setback with a resounding defeat in a state election and its main ally wavering over support for the government.

China’s Slowdown Rolls On Into October, Early Indicators Show – Bloomberg

China’s third-quarter slowdown continued into October, with only a few signs of stabilisation evident amid the weakest pace of expansion in almost thirty years.

In the FICC of It – Profit & Loss

Brexit, a lack of FX volatility, benchmarks, market conduct, crypto and algo trading are on the docket for this week’s edition of the podcast.

Regulatory News

Mark Johnson Files for Re-Hearing of Appeal – Profit & Loss

Mark Johnson’s legal team has filed a petition to have his appeal reheard or reheard “en banc”, before the entire bench of active appeal circuit judges, as he seeks to have his conviction for wire fraud overturned.

Frandt or Foe? FCMs Hit Back at Esma Buy-Side Clearing Salvo – Risk

Esma pushes dealers to publish standardised fee schedules amid clearing capacity fears.

WFE Calls for Academic Papers on Clearing and Derivs – FOW

The exchange association is boosting its research function with appointment of new head of research.

HKMA Updates Guidance on E-Banking Risk Management – Regulation Asia

The updated supervisory policy manual seeks to strengthen risk management controls in electronic banking channels by providing more principle-based guidance.

Crypto News

China Studying Blockchain Application for Forex: Regulator – Reuters

China will further liberalise its capital markets and is studying the application of blockchain and artificial intelligence in cross-border financing and settlement, a senior foreign exchange regulator said.

R3 Boss: Libra has Accelerated Banks’ Cryptocurrency Efforts – Financial News

The Facebook-led cryptocurrency Libra has drawn the ire of politicians and regulators around the world — but it has got banks thinking.

China’s Congress Passes Cryptography Law – Coin Desk

The Standing Committee of the 13th National People’s Congress in China passed a cryptography law on Saturday that will be effective on January 1, 2020.

How Blockchain and Crypto Are Poised to Shift the Balance of Power – Coin Telegraph

Blockchain’s potential to disrupt the financial landscape is evident. Even at this early point in the technology’s development, established institutions – including banks and governments – have been quick to note this potential for disruption, and equally quick to attempt to limit its impact. 

Company News

Managers Under Pressure to Suspend Funds Over Liquidity Concerns – Financial Times

UK fund managers are coming under increased pressure from trigger-happy administrators to suspend funds in the wake of the Neil Woodford scandal.

Hedge Fund Kings Face a Reckoning  – Wall Street Journal

Clients are withdrawing money at record rates as portfolio managers find it harder to navigate markets and deliver returns.

China’s CIC Plans Sino-Japanese, Sino-French Funds This Year – Reuters

The chairman of China’s sovereign wealth fund China Investment Corp (CIC), Peng Chun, said that CIC plans to set up Sino-Japanese and Sino-French funds this year to promote unspecified cross-border investment.

HSBC to Embark on Job Cuts Across Middle East, North Africa – Bloomberg

HSBC Holdings Plc is embarking on a fresh round of job cuts, targeting hundreds of employees in the Middle East, North Africa and Turkey as the latest part of the lender’s ongoing cost-reduction program.

Barclays’ Investment Bank Bolsters Staley’s Bet on Trading – Financial News

Corporate and investment bank was a standout performer in Q3, driven by sales and trading gains.

Market Savvy

Markets Over-Estimating GBP Brexit Premium, Say Analysts – Profit & Loss

Markets might currently be overestimating the amount of Brexit premium left in sterling, argue senior analysts at UBS.

Dollar Supported Before Fed Meeting, Brexit Delay in Focus – Reuters

The dollar traded near its highest in more than two months versus the yen on Monday ahead of a US Federal Reserve meeting this week where policymakers are expected to cut interest rates but emphasise their reluctance to ease policy further.

Central Banks are Still Missing Their Inflation Targets – Financial Times

As the world’s largest central banks resume asset purchases, the debate over the effectiveness of monetary easing rumbles on. One reason: policymakers have failed to close big gaps between average inflation and their targets.

Can the Good Run of Central Europe’s Economies Last? – The Economist

Fifteen years after they joined the eu, the four “Visegrad” states of central Europe (the v4) can be prouder of their economic achievements than of their patchy record on political reform.

Euro Naysayers See Brexit Deal Unable to End Currency’s Woes – Bloomberg

For European Central Bank President Mario Draghi, the battle to save the euro may be over, but for investors the risk of a continued slump in the currency persists.