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FXPA Webinar on the Global Code Available Now
The full audio recording and accompanying presentation from FXPA’s May 31, 2017 webinar, “How Does the Global Code Apply to Me?” is now available, featuring Chip Lowry, Senior Managing Director at State Street Global Markets and Chair of FXPA; Lisa Shemie, Associate General Counsel at Bats Global Markets, a CBOE Company and Member of the FXPA Policy Committee; Tahreem Kampton, Senior Director, Microsoft and Board Member of FXPA; and David Puth, CEO of CLS, and Chair of the Market Participants Group for the Global Code:



A Perfect Storm: The Buy Side’s Liquidity Conundrum  – Profit & Loss

David Newns, senior managing director at State Street and global head of Currenex, speaks with Nicola Tavendale about the confluence of factors that are creating a unique set of challenges for the buy side.

Have the Swiss National Bank’s Currency Interventions Actually Been Good for Switzerland? – Financial Times (Subscription)
The Swiss franc has appreciated more than 50 per cent against its trading partners in the past decade: You might think this would have affected the Swiss economy, perhaps by hurting exporters and domestic companies that compete with imports from abroad.

Pound Falls as London Terror Attacks Heighten Election Stakes – Bloomberg
The pound fell in Asia trading after a weekend terror attack in London killed seven people, days before the nation goes into a snap election.

Fresh Doubt Raised Over Fed Rate Rise – Financial Times (subscription)
A growing number of investors and analysts are questioning whether a widely-expected US interest rate increase at the Federal Reserve’s upcoming meeting is warranted in the face of subdued inflation and signs of weaker economic growth.

‘Emerging Markets’ Label Obsolete as Advanced Economies Become Politically Risky – South China Morning Post
Over the past year or so, the pendulum of political risk has swung even further in the direction of advanced economies

PBOC’s Chen Reaffirms Neutral Policy Amid Tightening Concerns – Bloomberg
China will pursue “neither loose nor tight” monetary policy to ensure basically stable liquidity, People’s Bank of China Deputy Governor Chen Yulu said.

Hedge Funds Turn Positive on Euro for First Time Since 2014 – Financial Times (subscription)
Expectations rise on hopes of optimistic economic outlook at ECB meeting.

Bitcoin Mania Infects Japanese Stock Market’s Smaller Listings – Bloomberg

The speculative frenzy in bitcoin is spilling over into the Tokyo Stock Exchange. Remixpoint Co., Infoteria Corp. and Fisco Ltd., have all seen volatile swings in their share prices after announcing businesses related to digital currencies.

Regulatory News

Looming Mifid II Rules Trigger Unlikely Partnerships – Financial News
Asset managers and distributors are working together to meet onerous target market requirements.

U.S. House to Vote on Republican Dodd-Frank Reform Bill – Reuters
The U.S. House of Representatives will vote on a broad bill to reform and repeal portions of the 2010 Dodd-Frank financial reform law this week, according to a top Republican official.

CFTC Bans Trader for Spoofing
The U.S. Commodity Futures Trading Commission today issued an Order filing and settling charges against David Liew for engaging in numerous acts of spoofing, attempted manipulation, and, at times, manipulation of the gold and silver futures markets.

U.K. FCA Raids at Lowest Since 2008 Crisis Despite More Probes – Bloomberg
The number of dawn raids carried out by the U.K. Financial Conduct Authority last year was the fewest since the 2008 financial crisis, according to data from a London law firm, despite the agency increasing its case load.

Australia Looks to Root Out Lower Capitalized FX Brokers With Strong New Ruling – Finance Feeds

FinanceFeeds has been conducting ongoing research into the Australian government’ perspective with regard to its firm stance against undercapitalized and small retail margin FX brokerages.

Company News

NEX, CME See Volumes Rise in May – Profit & Loss
Nex Markets and CME have followed other platforms in reporting positive FX data for May.

Digital Coins Are Making Bitcoin’s Rip-Roaring Rally Appear Tame – Bloomberg
Forget U.S. stocks and emerging-market assets, even ignore bitcoin. Those brave enough to invest in the Wild West of tech are the ones making a killing.

Not Coming to America – Wall Street Journal
Foreign tourists appear to be staying away from the U.S., a blow to the $1.6 trillion tourism industry.

Englander Joins Rafiki – Profit & Loss

Rafiki Capital Management has announced that Dr. Steven Englander has joined the firm in Hong Kong today as the head of research and strategy.

Exporters build on Brexit fall in sterling – The Times (subscription)
Britain’s exporters and builders merchants brushed off Brexit fears, with both sectors reporting a strong start to 2017.

Bank of China HK Joins EBS Direct – Profit and Loss
NEX Markets says that Bank of China (Hong Kong) has joined its EBS Direct platform as a liquidity provider.

Market Savvy

A UK election surprise for investors and the pound this week? Financial Times (subscription)
Here are the key questions facing investors as a new trading week beckons.

Other Times Unemployment Has Been This Low, It Didn’t End Well – Wall Street Journal
Each period is different, but very low unemployment rates have often preceded significant economic busts.

Australia seen limping to the finish line for global growth record – Reuters
Australia likely equaled the world record for the longest stretch of uninterrupted economic growth last quarter, yet celebrations will be muted as miserly wage growth saps the spending power of its citizens.

Dollar nurses losses after downbeat U.S. jobs data, pound edges lower – Reuters
The dollar nursed losses on Monday, coming close to a seven-month low against a currency basket plumbed after disappointing U.S. employment data prompted investors to pare back their expectations of future U.S. Federal Reserve rate hikes.

Industry Events

FIA International Derivatives Expo (IDX 2017), 5-7 June, London 
MFA Forum 2017, 20 June, Chicago
Profit & Loss Scandinavia 2017, 14 September, Stockholm
Forex Network Chicago 2017, 27-28 September, Chicago
FIA Futures & Options Expo 2017, 17-19 October, Chicago