Top Headlines

Euro Edges Off Eight-Week Lows Ahead of ECB Meeting – Reuters

The euro edged off eight-week lows as traders readied for a European Central Bank meeting, when investors will be searching for any signals about when the bank will begin unwinding its stimulus.

Sterling at Five-Week Lows as Rate View Hinged on GDP Data – Reuters

Sterling slipped to a five-week low as investors grew wary about the outlook for the British currency before a central bank meeting next month and the dollar consolidated gains after a sharp rally this week.

US Dollar Inches Down – Wall Street Journal (subscription)

Investors are awaiting signals about growth at this week’s European Central Bank meeting.

As Most Crowded Trades Turn Sour, Fund Managers Brace for Pain – Bloomberg

Dollar surge suprises speculators who piled into short wagers.

Swedish Crown Slides to Lowest Since 2009 After Central Bank Delays Rate Hike – Reuters

The Swedish crown slid to its lowest level against the euro since late 2009 after the central bank postponed plans for tightening monetary policy because of sluggish inflation.

Swiss Franc’s Return to Peg Level Opens Options for Central Bank – Financial Times (subscription)

The Swiss franc has fallen to its cheapest level against the euro since January 2015, when the Swiss National Bank stunned markets by abandoning a cap that limited the currency’s strength.

Ex-Currency Boss at HSBC Hopes to Be Rescued by Three-Legged Dog – Bloomberg

In a letter to the judge who could sentence Mark Johnson to as many as seven years for fraud, the former currency trader is described as a loving father who took his children for a last goodbye on the beach with their ailing three-legged Labrador, Batdog.

UK in ‘Preliminary Foothills’ of EU Financial Services Talks – Bloomberg

The UK is not yet in any “substantive discussions” with the European Union about a future relationship in financial services, Chancellor of the Exchequer Philip Hammond said.

16% Anticipated Drop in Workforce After CME/NEX Deal – FOW (subscription)

A NEX shareholder document said cuts will be necessary to “achieve the expected benefits of the acquisition”.

A Closer Look At: Next Generation TCA – Profit & Loss

David Wright, managing director and global head of FX electronic distribution, and Jian Chen, head of Quantitative Solutions and Innovations (QSI), at Morgan Stanley, talk about how Transaction Cost Analy- sis (TCA) is moving to real-time.

The Downside to Data – Profit & Loss (subscription)

Data is useless unless it is properly selected, analysed and presented.

Regulatory News

Swaps Rules Due for Overhaul in Bid to Boost Liquidity – Wall Street Journal (subscription)

US regulators want to make it easier for companies to complete swaps trades, responding to industry complaints that postcrisis rules have hurt market liquidity.

Central Bankers Can’t Agree on Cryptocurrencies – Bloomberg

But cooperation will be essential to avoid disruption.

Philippines to Allow Cryptocurrency Operators in Economic Zone – Reuters

The Philippines will allow ten blockchain and virtual currency companies to operate in an economic zone to take advantage of tax perks while generating employment, a government official said.

Company News

360T Announces Two New Deals – Profit & Loss

360T has been selected by M&G Investments to provide streamlined workflow technology for order handling and execution, and, separately, has agreed a partnership with Crown Agents Bank (CAB), a global wholesale bank that specialises in emerging markets.

Former Head of FX at Jefferies Starts a New Cryptocurrency Company – Bloomberg

Ray Kamrath, former global head of foreign exchange at Jefferies Group, started a cryptocurrency firm in New York this month after leaving the bank in March. 

Gemini Increases Cryptocurrency Trading Oversight with Nasdaq’s Technology – Reuters

Gemini Trust Company announced it is increasing oversight of its cryptocurrency trading using Nasdaq’s market surveillance technology to detect manipulation and fraudulent trades.

Market Savvy

Yuan Recovers from One-Month Low as Dollar’s Drive Pauses – Reuters

China’s yuan shook off a much weaker official midpoint and clawed back from a one-month low against the dollar as the greenback paused after its recent rally.

Buy Australian Bonds, Sell the Currency: Morgan Stanley – Bloomberg

Buying the Aussie against the US dollar in the spot market and simultaneously selling the pair via three-month forwards yields 16 basis points on an annualized basis.

No Love for India’s Rupee as Analysts Rush to Cut Forecasts – Bloomberg

India’s widening current-account deficit is coming back to haunt the rupee, with analysts clamoring to lower forecasts on Asia’s second-worst performing currency.