Top Headlines

FXPA Publishes Last Look Paper; Plans Webinar The Foreign Exchange Professionals Association (FXPA) has released the third in a series of educational papers it is producing to explain the many nuances of the FX industry. FXPA’s “Focus on Last Look” explains the origins and evolution of the practice, and its unique role in global currency markets.   

Yen Surges; South African Rand Dives to Record Low in Asian Trade –­ Reuters The safe haven yen surged in early Asian trade on Monday as the South African slid, underscoring the risk-averse mood that has prevailed in markets since the start of the year as China has allowed the yuan to sharply weaken.

China Will Find it Tough to Achieve Over 6.5 Percent Growth Over 2016-2020: State Adviser – Reuters China will face great difficulty in achieving economic growth above 6.5 percent over the 2016-2020 period due to slowing global demand and rising labor costs at home, the China Securities Journal quotes a top state adviser as saying.

Fed Eyes Margin Rules to Bolster Oversight – Wall Street Journal (subscription) Rules limiting what portion of stocks or bonds can be purchased through borrowing are moving up the Fed’s to-do list.

The End of the Monetary Illusion Magnifies Shocks for Markets –Bloomberg Central bankers are no longer the circuit breakers for financial markets.

Global Turmoil Darkens Path to Bank of England Rate Increase – Bloomberg If Mark Carney made a New Year’s resolution to raise U.K. rates, the rest of the world isn’t helping.

A British Exit From the EU Would Have Global Consequences – Wall Street Journal (subscription) There are powerful reasons to believe Britons will ultimately vote to stay in the EU, but the alternative can’t be dismissed as a minor risk.



Regulatory News

US Regulators Told to Expect VM Status Change – Risk US regulators have been told to expect big cuts in the exposure numbers banks report for their cleared over-the-counter derivatives – the result of a radical change to margining practices that central counterparties (CCPs) and their members have been pursuing.



Company News

Nasdaq Puts FX on Hold; Holcombe Exits – Profit & Loss Is Nasdaq putting its FX clearing and trading initiatives on hold?

Full Year Volume Mixed News for Platforms – Profit & Loss The full year volume data for those platforms that publish is a mix of the good, bad and indifferent.

Credit Suisse MD Duo Cap off Busy Week for Exits – E Financial News Credit Suisse’s UK chief executive and European public policy head have joined the list of senior executives revealed this week to have resigned from the Swiss lender.

Ex Citi Bosses Head to Man Group – The Trade Man Group has recruited the former head of centralised risk trading at Citi as a portfolio manager in its £21.2 billion discretionary management unit.

Standard Chartered’s Deputy CEO to Retire – E Financial News Standard Chartered deputy chief executive Mike Rees is leaving after 26 years, the bank said, in a departure that marks the tarnished end of an era of expansion.



Market Savvy  

Yuan Derivatives Subdued Amid China FX turbulence – Economic Times Yuan forward derivatives have shown surprising calm amid sharp falls in the Chinese currency over the past month, signalling that the yuan’s sell-off may have run its course for now.

Oil Seen Heading to $20 by Morgan Stanley on Dollar Strength – Bloomberg A rapid appreciation of the US dollar may send Brent oil to as low as $20 a barrel, according to Morgan Stanley.

Few Commodity Traders Saw Improved Liquidity in 2015 – Risk About three-quarters of traders surveyed in a poll say liquidity in over-the-counter commodity derivatives markets held steady or declined over the past 12 months, with only about a quarter saying the liquidity picture had improved.

Fixed Income E-Trading: The New World Order – TABBForum Electronic trading in the fixed income markets is at a crossroads. Regulatory pressures and capital constraints have changed the economics of the business and promise to create a new market structure.



Press Releases

SNB Anticipating Loss for 2015 – Profit & Loss The Swiss National Bank (SNB) says that it is expecting an annual loss of CHF23 billion for the 2015 financial year.

FXCM Partners with Trading Software Provider – Profit & Loss Online FX broker FXCM says it is partnering with PF Soft, a developer of multi-user professional trading software, to provide trade execution and market data to the latter’s Protrader multi-asset solution through Fix API.



Industry Events