Top Headlines

FXPA Announces New Officers, Board Members – FXPA

The Foreign Exchange Professionals Association (FXPA) has voted in a slate of new Board and Officers members at its annual meeting. 

Buy-Side Drives Growth in CLS FX Settlement – The Trade

Foreign exchange settlement provider CLS has reported a growth in new business driven by buy-side institutions as firms seek to mitigate settlement risk across FX trading activities.

Is Transparency in Trading Working? (opinion) – Profit & Loss

We are still at the stage where few, if any, market participants are willing to come out and say anything remotely negative about transparency for fear that ill-informed regulators will jump on them, but the signs are there that it has been rejected as a concept.

Sterling’s 2019 Bounce Adds to Brexit Nerves – Financial Times

Betting that a softer Brexit will drive sterling even higher could prove dangerous. This fear, held by some hedge funds, comes after expectations that the UK will avoid leaving the EU without a trade deal has sent the pound up from about $1.26 at the start of this year to over $1.32.

Regulatory News

Speaker Wrecks Theresa May’s Brexit Plan by Banning Another Vote on Deal – Bloomberg

Theresa May’s Brexit strategy was dealt a major blow by House of Commons Speaker John Bercow when he effectively banned her from bringing her deal back to Parliament for a third time, unless it changes significantly.

Brexit to Deliver Further Blow to Mifid Transparency Data – (subscription)

Dealers and investors trying to gauge the depth of trading from already patchy European Union data are due to face another setback from Brexit, as off-venue trades across the new EU-UK border will be reported twice.

Relationship Banking Isn’t Dead, Just Different – (subscription)

They used to be tight. In the not too distant past, banks sought out the business of asset managers, plying them with free research, market intelligence and trade ideas during the day, and occasionally, sparkling entertainment. All those giveaways cemented relationships, and business. Then came Mifid II.

MAS Publishes Finalised Mandatory Trading Regulations for Derivatives – Regulation Asia

Global law firm Ashurst sums up the key takeaways from the MAS response to consultative feedback and the now-finalised mandatory trading regulations.

Crypto News

IBM Says Banks Consider Following JPMorgan Into Digital Currency – Bloomberg

International Business Machines Corp., a provider of technology for creating digital currency, said at least two “major US banks” are considering whether to follow JP Morgan’s lead in issuing a coin.

Citi Has Scrapped Its Plan for a JPM Coin-Like Bank-Backed Cryptocurrency – CoinDesk

In light of the splash JPMorgan made recently with its plan for a bank-backed cryptocurrency, it’s worth remembering another big institution first tested a token to connect global payments – back in 2015.

When Bakkt? Bitcoin Futures Market’s Approval Appears Stuck in Limbo – CoinDesk

More than six months since Intercontinental Exchange (ICE) revealed its vision for Bakkt, the hotly anticipated bitcoin futures market is still awaiting regulatory approval.

BCBS Sets Out Minimum Expectations for Banks Exposed to Crypto – Regulation Asia (subscription)

The minimum prudential expectations for banks exposed to crypto-assets relate to due diligence, governance and risk management, public disclosure and supervisory dialogue.

Company News

CME Says Euro Trading Has Moved to Amsterdam Ahead of Brexit – Reuters

Euro-denominated government bond, repurchase agreement and foreign exchange trading at CME Group has moved from London to Amsterdam to avoid disruption from Brexit.

Cobalt Bolsters its Ranks with Five New Hires – Profit & Loss

Cobalt, which provides FX infrastructure based on shared ledger technology, has hired five senior staff in its London and New York offices.

Deutsche’s London Staff Would ‘Get Toasted’ in Commerzbank Merger – Financial News (subscription)

Staff at German lender’s investment bank are talking internally about what such a merger would mean for their division.

CFTC Wants TFS-ICAP Senior Managers to Respond to Complaint in Flying and Printing Case – FinanceFeeds

Jeremy Woolfenden, former global head of emerging markets broking at TFS-ICAP, and Ian Dibb ex-CEO of TFS-ICAP, are under increased pressure to respond to the complaint launched by the United States Commodity Futures Trading Commission against them at the New York Southern District Court.

Market Savvy

Hong Kong Spends Almost $1bn in March to Defend Currency – Financial Times

Hong Kong has spent nearly $1bn so far in March defending the local currency’s peg to the US dollar, which has come under pressure after a rise in US interest rates in 2018 and amid an increase in money flows into China’s stock market.

Yen Benefits as Dollar Faces Expectations for an Accommodative Fed – Reuters

The Japanese yen rose on Tuesday, benefiting from a US dollar hit by concern over the US economy and expectations that the Federal Reserve will prove accommodative at a meeting this week.

Fidelity’s Wolf Sees Loonie Testing 62-Cent Low Amid Slowing Economy – Bloomberg

The Canadian dollar may sink back to its record low of 62 U.S. cents (C$1.61) as the country retrenches from a consumer-spending boom into the face of a slowing global economy, said David Wolf at Fidelity Investments.