Euro Falls Below 1999 Launch Rate as QE Door Seen Left Open – Reuters
The euro fell below its 1999 launch rate against the dollar for the first time in over nine years on Wednesday after an adviser to Europe’s highest court said an ECB bond-buying programme was legal under certain conditions.
JP Morgan Hit by $1 Billion in Fresh Legal Charges – Financial Times (subscription)
JP Morgan Chase’s earnings were hit by $1.1 billion in new legal charges as the largest US bank prepares to settle looming charges over foreign exchange manipulation by the Department of Justice.
Tullett Prebon and BGC Declare a $100 Million Truce Over Broker Poaching – The Telegraph
Tullett Prebon has settled its long-running dispute with rival broker BGC in a $100 million settlement, almost five years after the latter tried to poach more than 80 brokers from Tullett’s US-based subsidiaries.
‘Grexit’ Unlikely, Less Risk of Contagion Than in 2012, Says Moody’s – Reuters
Greece remains relatively unlikely to leave the euro zone, ratings agency Moody’s said on Wednesday, despite the prospect of an anti-bailout leftist party winning a snap election on January 25.
FXPA: A New Force for Advancing the Interests of the FX Industry – eForex (subscription)
The FX market stands at a critical juncture as technological innovation, new competitive forces, and an evolving market structure and regulatory framework redefine the FX landscape. More recently, investigations and settlements related to the alleged manipulation of benchmark FX rates have heightened public scrutiny of the FX marketplace. Against this collective backdrop, the Foreign Exchange Professionals Association (FXPA) was formed by a diverse group of FX market participants to provide a unique contribution to the public dialogue.
Russia’s Ruble Sinks to Lowest Level Since December Currency Run – Wall Street Journal (subscription)
Russia’s ruble Tuesday sank to its lowest levels since a run on the currency mid-December, wounded by a fresh slump in oil prices and rising fears that the central bank’s emergency measures to rescue the currency last month aren’t enough to staunch the crisis.
FX Leads the Way in Buy-Side Technology Spend: Greenwich – FX Week (subscription)
Greenwich Associates 2014 Trading-Desk Optimisation Study shows FX desks on the buy side have upped their technology spend.
Japanese Currency Climbs to Two Month High – Financial Times (subscription)
The Japanese yen has climbed against the dollar for a fourth day running – its longest winning streak since mid-October – to trade at its highest level in two months.
Aussie Dollar Sinks as Copper Loses Lustre – Wall Street Journal (subscription)
The Australian dollar fell sharply in Asian trading as investors were spooked by a drop in the copper price to its lowest level in more than five years.
Yuan Comeback Seen by Top Forecasters on Spending – Bloomberg
The yuan will stage a comeback this year as China’s government boosts spending to revive economic growth, according to two of the currency’s top three forecasters.