Top Headlines

Ex-HSBC FX Trader Scott Loses UK Bid to Block Extradition – Bloomberg

HSBC Holdings’ former head of currency trading in London can be extradited to the US to face fraud charges, a London court ruled, three days after his old boss was convicted over the same allegations.

CFTC Extends Swap Dealer Threshold Rule – Profit & Loss

The Commodity Futures Trading Commission (CFTC) has issued an order that will keep the swap dealer de minimis threshold at $8 billion until December 2019.

Euro Falls for a Second Day as Policy Divergence Trades Grow – Reuters

The euro slipped for a second day, on track for its biggest weekly loss of the year on the back of falling bond yields after the European Central Bank extended its bond buying well into next year.

Dollar Rises After ECB Comments Weaken Euro – Wall Street Journal (subscription)

The dollar rose to its highest level in three months, lifted by signs of progress on efforts to overhaul the US tax code and weakness in the euro following the European Central Bank meeting.

The Dollar May Not Be Stronger for Much Longer – Wall Street Journal (subscription)

Dollar bulls beware: the US currency’s comeback is on shaky ground, analysts warn.

Sterling Slips as BoE Rate Hike Caution Sets In – Reuters

The British pound slipped against the dollar, as investors looked cautiously ahead towards a Bank of England policy meeting next week which could see interest rates rise for the first time in over a decade.

Phase Out Libor? Not So Fast, Bankers Say – Wall Street Journal (subscription)

Investors and bankers aren’t so sure they want to get rid of Libor, the scandal-plagued financial benchmark that’s also deeply ingrained in markets across the globe.

OTCXN: Can Digital Solutions Bring Back FX Growth? – Profit & Loss (subscription)

OTCXN seeks to leverage its own proprietary blockchain technology to solve what its CEO and founder, Rosario Ingargiola, says is currently the biggest challenge in the FX market: accessing wholesale liquidity.

Regulatory News

Fed Supervisor Presses Banks to Address CCP Exposures – Risk (subscription)

Regulator says more information is needed to fully understand the risk of cleared trades.

Wall Street Skirts Worst Fallout from EU Law Shaking Up Analyst Research – Wall Street Journal (subscription)

Move allows US banks to take direct payments for research without it being considered investment advice.

Temporary Banking Regulator’s Job Status Raises Ethics Questions – Wall Street Journal (subscription)

The acting chief of a top federal banking regulator is implementing significant regulatory changes in his temporary post and isn’t subject to the ethics restrictions that would apply to his permanent successor, raising concerns from lawmakers.

Treasury Calls for Delaying, Scaling Back Investment-Fund Rules – Wall Street Journal (subscription)

Investment funds would see strict postcrisis rules scaled back or delayed under recommendations laid out by the Treasury Department its latest report outlining the Trump administration’s deregulatory agenda.

It’s Going to Stay a Yellen Fed No Matter Who Gets the Job – Bloomberg

It’s going to be Janet Yellen’s Federal Reserve no matter who is the next chair.

Singapore Aims to Finish Its Own Cryptocurrency Trial Next Year – CNBC

Singapore will conclude its experiment with blockchain technology and its own digital currency next year before deciding whether to commercialize the trial, the country’s regulator has told CNBC.

Company News

CME Profit Beats on Higher Transaction Fees – Reuters

CME Group, the world’s largest futures market operator, beat Wall Street quarterly profit estimates on increased clearing and transaction fees despite drastically higher income taxes.

The Largest Options Exchange in the US is Moving in on a $1.6 Billion Bitcoin Opportunity – Business Insider

Bitcoin presents a $1.6 billion revenue opportunity for exchanges, according to a wide-ranging report on cryptocurrencies by Bank of America Merrill Lynch. 

Blockchain Tech Overhyped with Big Challenges: Analysts – FOW (subscription)

Analysts at Berenberg are skeptical that the reality of blockchain can live up to its hype anytime soon.

Deutsche Boerse’s CEO Quits Amid Insider Trading Probe – Bloomberg

Deutsche Boerse Chief Executive Officer Carsten Kengeter resigned amid growing shareholder pressure after he became embroiled in an insider-trading probe.

Conde Named as Duco Advisor – Profit & Loss

Duco, a provider of self-service data normalisation and reconciliation services, has announced that Cristóbal Conde has joined as an advisor to the CEO and board of directors.

Market Savvy 

LatAm Currencies Down on Fed Jitters; ECB Curbs Losses – Reuters

Latin American currencies weakened on bets that US President Donald Trump would nominate a more hawkish policymaker to replace Janet Yellen as head of the Federal Reserve.

Asian Currencies Languish; Rupiah Slips to Over 16-Month Low – Reuters

Asian currencies came under pressure as the dollar strengthened against the euro after the European Central Bank extended its bond purchases into 2018, diminishing near-term chances of a rate hike in the euro zone.