HSBC Ordered to Hand Over Records in ‘Front-Running’ Case – Financial Times (subscription)
HSBC has suffered another setback over allegations that it manipulated foreign exchange markets, after a British judge ordered the bank to hand over records requested by a client who suspects it was a victim of “front-running” by the bank’s traders.
ESAs Review on Variation Margin Challenges for FX Forwards – Profit & Loss
The European Supervisory Authorities (ESAs) released a statement acknowledging challenges for certain counterparties to exchange variation margin for physically settled FX forwards under EMIR by January 3, 2018.
Dollar Declines as European Data Suggests Strong Growth – Wall Street Journal (subscription)
The US dollar fell versus the euro as recent data from Europe is painting a picture of solid growth, while concerns are growing in the US about the pace of inflation.
A Decade After the Crisis, King Dollar Is the World’s Tyrant – Wall Street Journal (subscription)
Regulation has made dollars harder to come by, triggering scrambles among banks.
Irish Concerns Check Sterling After Weekly Gains – Reuters
Sterling steadied after posting its biggest weekly rise in more than a month as investors worried about Brexit negotiations next month in the light of a political crisis in Ireland.
Pound Rally’s Progress to Hinge on Clearing Brexit Bill Hurdles – Bloomberg
The endurance of the pound’s three-week rally against the dollar depends on whether ongoing Brexit negotiations can clear the way to discuss trade.
Euro Rally, German Politics Bolster Bloc’s Bond Markets – Reuters
Euro zone bond yields nudged down, with southern Europe leading the way thanks to strength in the euro and reduced political uncertainty in the region after Germany moved a step closer to resolving the country’s political impasse.
City of London Panel Links Downturn to Brexit – Financial Times (subscription)
Top City of London figures have slammed the government’s handling of Britain’s exit from the EU, blaming Brexit for the sharp downturn in the UK’s economic performance evidenced in chancellor Philip Hammond’s Budget.
Barclays Trader Jailed in Libor Scandal Fights UK Conviction – Bloomberg
A former Barclays trader sought permission from a London court to appeal his conviction for Libor-rigging, after the credibility of a prosecution witness who testified at his trial was called into question.
When Data Becomes a Commodity – Profit & Loss (subscription)
Probably the primary concern is that the greater use of AI will inevitably lead to more firms trying to differentiate themselves through selling data.
The Human Touch – Profit & Loss (subscription)
Despite the hype around artificial intelligence and machine learning in an increasingly data-driven environment, humans remain a vital part of the trading process.
Want to Make 7% Profit per Day? Find Some Cheap Qatari Riyals – Bloomberg
Accessing currency at the discounted rate is limited by supply.
CFTC Reports Steep Drop in Enforcement Actions and Fines – Wall Street Journal (subscription)
Large bank settlements inflated previous year’s totals but critics pan new lighter-touch enforcement policies.
Regulators Signal They Are Nearing Post-Crisis Rules for Global Banks – Financial Times (subscription)
A meeting of the governing body for global banking standard setters has been called in two weeks’ time, a sign that the year-long impasse around reforms of post-crisis rules may be at an end.
Regulator Apologises for ‘Basel IV’ Bank Rules Delay – Financial Times (subscription)
Singapore central bank chief Ravi Menon acknowledges long pause has been ‘frustrating’.
CFTC Chief Works to Tweak, Not Decimate, Obama-Era Rules – Wall Street Journal (subscription)
J. Christopher Giancarlo moved to the top job at the Commodity Futures Trading Commission this year from a minority commissioner’s role, giving him a chance to push for changes on Obama-era derivatives regulations that he has criticized.
Here’s What the World’s Central Banks Really Think About Bitcoin – Bloomberg
Eight years since the birth of bitcoin, central banks around the world are increasingly recognizing the potential upsides and downsides of digital currencies.
Getting Ahead of Liquidity Risk Management Rules in Asia – Bloomberg
Globally, IOSCO has published liquidity risk guidelines since 2013, and in the US, SEC 22e-4, its most recent regulatory response to managing liquidity risk, will start to require compliance as early as of December 2018.
NEX Regulatory Reporting Approved as Trade Repository – Profit & Loss
NEX Regulatory Reporting has announced that NEX Abide Trade Repository AB has received approval from the European Securities and Markets Authority (ESMA) for its Swedish-based trade repository under the European Market Infrastructure Regulation (EMIR).
Cooley Exits Thomson Reuters – Profit & Loss
Sources familiar with the matter tell Profit & Loss that John Cooley, head of buy side trading at Thomson Reuters, has left the company.
Kx, a division of First Derivatives, hired Richard Kiel as global head of forex solutions, based in New York.
The Uncertain Future of Bitcoin Futures – Bloomberg
Not even Jamie Dimon knows how this saga will end.
Taking the Block Out of Blockchain – Financial Times (subscription)
Two years of dabbling and experimentation and it’s mostly just been changing itself (so as to become even barely usable in capital markets).
$10,000 in Sight for Bitcoin as It Rockets to New Record High – Reuters
Bitcoin’s vertiginous ascent showed no signs of stopping, with the cryptocurrency soaring to another record high just a few percent away from $10,000 after gaining more than a fifth in value over the past three days alone.
Investors Split Ahead of Key South African Ratings Decisions – Financial Times (subscription)
South African markets were nervy ahead of a pair of key credit rating updates, with analysts split on the likely outcome.