Top Headlines

Fed’s Fischer Says Persistent Volatility Could Harm US – Reuters If recent market volatility persists it could signal a slowdown in the global economy that hurts U.S. growth and inflation, the Federal Reserve’s second-in-command said on Monday.

ECB’s Nowotny Hopes Markets Won’t Over-Anticipate in March – Reuters European Central Bank policymaker Ewald Nowotny on Monday said he hoped markets would not overly anticipate ECB actions in March after showing excessive expectations for policy action in December.

Fixed Income Evolution Leading to Bifurcated Markets – Profit & Loss The fixed income market is undergoing a series of significant changes, leading to increasingly bifurcated markets, according to speakers at Tabb Group’s The Big Fix conference last week.

Derivative Bets on Yuan Weakening Reach Record High – Reuters Hedge funds have ramped up bets on a sharp devaluation of China’s yuan since the Bank of Japan cut interest rates into negative territory, with the bias towards yuan falls in options markets hitting its highest on record.

Brexit Index: The “Out” Risk is Real – Reuters Britons are warming to the idea of Brexit. That message has been increasingly clear since the middle of last year, when polls started to indicate an increase in the number of UK citizens who would vote to leave the European Union in a referendum due by end-2017.

PBoC And Traders Play Cat-And-Mouse Game – Financial Times (subscription) If currency investors were in any doubt over how to characterise the renminbi’s rollercoaster drama last month — a scuffle perhaps, or a skirmish — then China’s ruling Communist Party made it clear: this is war.



Regulatory News

More Dark Pool Investigations Under Way, Says New York’s Top Cop – Bloomberg Additional actions are likely against private trading venues run by some of Wall Street’s biggest banks, the nation’s top securities regulator and New York State’s attorney general said today as they announced record settlements with two global banks over their so-called dark pools.

CFTC Grants Eurex Clearing AG Registration as Derivatives Clearing Organization The U.S. Commodity Futures Trading Commission (CFTC) today issued an order granting Eurex Clearing AG (Eurex Clearing) registration as a derivatives clearing organization (DCO) under the Commodity Exchange Act (CEA).



Company News

BATS Global Markets S1 Filing with SEC Warns BATS-Chi-X Europe May Leave London if UK Brexits – MondoVisione BATS Chi-X Europe may from time to time hold cash reserves in U.K. sovereign government debt, commonly known as Gilts. In addition, many of its customers are banks who may hold investments in Euro-denominated sovereign debt.

UBS Hires Ex-Brevan Howard Partner Pande for Wealth Unit – Bloomberg UBS Group AG has hired former Brevan Howard Asset Management partner Vinay Pande and his team for its wealth management unit as investors turn to hedge-fund type investment strategies to shield their portfolios from market shocks.

Barclays Just Lost its Head of US Compliance – EFinancialNews Jill Ostergaard, US head of compliance just left Barclays – shortly after the bank paid a $70m fine for mismanaging its dark pool.



Market Savvy  

Aussie Falls as RBA Holds Rates, Sees Scope for Easier Policy – Bloomberg Australia’s dollar dropped against most of its 16 major counterparts after the central bank kept interest rates at a record low and policy makers said low inflation may provide scope for easier policy.

Currency Traders Struggle to Parlay Bad Volatility Into Profit – Bloomberg Currency traders are getting whiplash from the pile-up of policy surprises that have come their way in the past six months.

The Last Time Sweden Meddled With the Currency, It Failed – Bloomberg Currency interventions don’t work. That’s the gist of what the economist community is saying after Sweden’s central bank ratcheted up warnings that it may intentionally weaken the krona as it tries to spur inflation.

When Currency Hedging Pays Off – Nasdaq The U.S. dollar has been on a tear the past year and a half, and this has certainly been a factor as U.S. stocks have trounced international stocks during that period.

Silver Investors’ Faith in Benchmark Threatened by Market Misses – Bloomberg A daily silver price used as a benchmark by traders, miners and jewelers risks losing credibility with investors after it was set beyond levels traded on the market.



Press Releases

FXCM Announces Changes to Board of Directors FXCM, a leading online provider of foreign exchange (FX) trading and related services, announced on February 1, 2016, Mr. Perry Fish submitted his resignation to FXCM from his position serving as an independent member of the Company’s Board of Directors (the “Board’) including any and all committee appointments, effective immediately.



Industry Events