Top Headlines

Futures Exchanges Eye Shift to ‘Flash Boys’ Speed Bumps – Financial Times (subscription)

After years of trying to cater to their quickest customers, the world’s biggest futures exchanges are now looking to slow them down.

Here’s Why Singapore Made it on to the US Currency Watchlist – Bloomberg

Singapore made the US Treasury’s watchlist for currency manipulation for the first time, throwing a spotlight on its exchange rate policies. The US uses three criteria to determine if a country is a currency manipulator: a current-account surplus of more than 2% of gross domestic product; a bilateral goods trade surplus with the US of at least $20 billion; and intervention in the foreign exchange market that exceeds at least 2% of GDP.

Trump Administration Proposes New Rules to Punish Currency Manipulators – FX Week (subscription)

The US government is proposing regulatory amendments that would give it new firepower against countries it thinks are artificially weakening their currencies. The new trade-policy tool, if enacted, would enable the government to raise tariffs to protect sectors it believes are being harmed by deliberately undervalued foreign currencies.

US Exchanges Must Face Renewed High-Frequency Trading Claims: Judge – Reuters

A Manhattan federal judge has ordered seven US stock exchanges to face proposed class-action claims that they defrauded ordinary investors by quietly enabling high-frequency traders to trade faster and at better prices.

Regulatory News

Will Regulators Come Up with New Rules? (opinion) – Profit & Loss

There is a growing sense that the post-global financial crisis round of regulation has failed and while the unwinding of some regulation may well reduce costs, there has to be a chance that the regulators do what they so often do – and come up with new rules.

FCA Protests No-Deal Trading Rules Despite Esma Climbdown – Financial News (subscription)

A spat between European and British regulators over where shares should trade in the event of a no-deal Brexit has flared up after the UK Financial Conduct Authority accused its Paris-based counterpart of risking disruption to liquid markets.

LME Waves the White Flag on New EU Rules for Phone Trading – Financial News (subscription)

The London Metal Exchange has told members that it will not challenge regulators’ overhaul of its idiosyncratic telephone-trading system, despite fears that trading could flood into opaque private markets.

FCA Bans Ex-Broker Terry Farr Over Libor-Rigging Scandal – Financial Times (subscription)

The UK’s Financial Conduct Authority has banned Terry Farr from performing any regulated financial activity, saying the ex-broker had “acted dishonestly and lacked integrity” for his alleged role in the Libor rigging scandal.

Crypto News

Blockchain Settlement Was Slow, Costly in Trial, Weidmann Says – Bloomberg (subscription)

A trial project using blockchain to transfer and settle securities and cash proved more costly and less speedy than the traditional way, Germany’s central bank president said.

Dark Pool and OTC Crypto Trading Growing as Market Begins to Resemble Traditional Asset Classes – The Trade

New research has shown a growing percentage of crypto trades being executed via the OTC market and dark pools in a sign of the asset class maturing as it continues to evolve.

Robinhood’s Free Crypto Trades Powered by Chicago’s Jump Trading – Bloomberg (subscription)

Robinhood Markets’s move to add cryptocurrencies trading last year was certainly a popular one, helping the maker of the free trading app double its customer base. But it needed help to pull it off.

IOSCO Consults On Regulating Crypto Asset Platforms – Markets Media

The Board of the International Organization of Securities Commissions is seeking comments on a consultation paper that describes the issues associated with crypto-asset trading platforms and sets forth key considerations to assist regulatory authorities in addressing these issues.

Jump in Cryptocurrencies Is Just the Tip of the Iceberg, BitPay’s Singh Says – Bloomberg TV

Sonny Singh, BitPay chief commercial officer, discusses the landscape for cryptocurrencies.

Company News

FX Platform Merger Wave: Surf’s Up for 360T/FXall? – Greenwich Associates

The FX industry is no stranger to M&A. Since 2006, there have been 11 major transactions, with the pace only accelerating.

US Banking Sector Reports $60.7 Billion in Profits for First Quarter of 2019 – Reuters

The US banking sector recorded $60.7 billion in profits in the first quarter of 2019, an increase in profit levels from the year prior, according to data from the Federal Deposit Insurance Corporation.

Citi, BofA Join JPMorgan Warning of Quarterly Trading Slump – Bloomberg

The biggest trading houses on Wall Street are warning of a slump. Citigroup said trading revenue has declined so far this quarter while Bank of America Corp. indicated revenue is on pace to be about 10% lower. They joined JP Morgan in reporting a downturn for the business.

Market Savvy

Brexit Nerves Set Pound on Track for Biggest Monthly Drop in a Year – Reuters

The pound held near a four-month low against the dollar and the euro on Thursday as investors remained sidelined amid the contest to succeed Prime Minister Theresa May.

Dollar Set for Fourth Consecutive Monthly Rise on Trade Tensions – Reuters

The dollar edged toward a one-week high on Thursday as the trade tensions between China and the United States prompted investors to seek shelter in the greenback.

YouTube Beckons Lira-Obsessed Turks in Scorched Media Landscape – Bloomberg (subscription)

YouTube is where Turks are turning for answers on the lira and the economy that they can no longer find in the country’s mostly neutered traditional media.