Top Headlines

SEC Fines Citigroup, Morgan Stanley Over Forex Trading Program – Reuters

Citigroup and Morgan Stanley each agreed to pay more than $2.96 million to settle charges they misled investors about a foreign exchange trading program they were selling, the US Securities and Exchange Commission said.

Sterling Steadies After Supreme Court Turbulence – Reuters

Sterling steadied against major currencies, pausing after a rollercoaster ride a day earlier that followed a Supreme Court ruling that Britain’s government must go through parliament before starting talks to quit the EU.

Dollar Rides US Yields Higher, Pulls Away from Recent Lows – Reuters

The dollar held gains early, with a rebound in Treasury yields helping the greenback pull away from recent lows plumbed against the yen and euro amid concerns about US President Donald Trump’s protectionist stance.

FX Turnover Slows Further in October – Profit & Loss

Data from the world’s FX committees reinforces the sense that April was a minor outlier in FX turnover, with all but one centre reporting a slowdown in activity from April 2016 to October 2016.

Less Volume, but More Automation – Profit & Loss

Data from the UK’s FX Joint Standing Committee (JSC) shows that while overall volumes dropped, e-ratios in spot and across the broader market both rose from April.

BoE’s Salmon Expects More Surprise Flash Moves in FX – Profit & Loss

Chris Salmon, executive director, markets, at the Bank of England (BoE), said in a speech that, while he has confidence in the ability of the FX market to process identifiable risks, he expects to see more surprise flash moves in this asset class.

Rouble’s Rally Tests Investors’ Russian Appetite – Financial Times (subscription)

A stronger oil price and possibility of an easing in US sanctions has helped the rouble.

Solving the RMB Dilemma – Profit & Loss

The Chinese authorities face a range of challenges as they seek to protect the economy in the face of downward RMB pressure.

Apple Is Trumping Trump in Taiwan With Asia’s Only Currency Gain – Bloomberg

Taiwan is proving a surprising investment winner under Donald Trump.

The 2017 Profit & Loss Crystal Ball – Profit & Loss

There is little doubt that as an industry foreign exchange is a more optimistic place than it was just 12 months ago – and hopefully the majority of themes in this year’s Crystal Ball reflect a more upbeat message.

Market Liquidity is Great, Until It Isn’t – Bloomberg

Without grasping the subtlety of this concept, it’s hard to understand financial regulation.

Regulatory News

EU Says UK Banks Must Stick to Its Standards to Retain Access – Bloomberg

UK banks risk losing their privileges to do business in the European Union, unless the government in London agrees to abide by financial regulation decided in Brussels even after Britain leaves the bloc, the head of the group of euro-area finance ministers said.

Top Senate Democrat Urges Trump to Label China ‘Currency Manipulator’ – Sputnik News

President Donald Trump should label China a currency manipulator if he truly wants to protect jobs in the United States, US Senate minority leader Chuck Schumer said at a press conference held by congressional Democrats.

Indirect Clearing Rules Too Demanding, Warn EU Regulators – Risk (subscription)

EBA and Esma call for clarity on capital relief for exposures to clearing members.

Esma Chair Calls for Clearing Equivalence Reform – FOW (subscription)

European Securities and Markets Authority chair Steven Maijoor has said the European Union should redesign its clearing equivalence regime to address issues in the EU and abroad.

Finra’s New Chief Robert Cook Vows to Take a ‘Fresh Look’ At Enforcement – Investment News

The recently appointed CEO acknowledged that he’d heard loud and clear the complaints brokerage industry executives had with their principal regulator.

Company News

IS Prime Acquires ThinkLiquidity Assets – Profit & Loss

IS Prime Risk Services, an affiliate of IS Prime, has acquired the assets of Think Liquidity, a provider of risk management focused technology and services – the price of the deal was not disclosed.

Eris Continues Expanding with Harrington Hire – Profit & Loss

George Harrington has joined Eris Exchange, which offers cash-settled swap futures as an alternative to traditional OTC swaps.

Market Savvy

Aussie Slumps, US Dollar Struggles for Traction – Reuters

The Aussie dollar was the big mover among the G10 group of major developed world currencies, hit by lower than expected inflation numbers in a market stalled by doubt over the rally in its US counterpart.

Lira Claws Back Losses After Surprise Central Bank Hold – Financial Times (subscription)

Turkey’s lira has clawed back its losses after a surprise decision from the country’s central bank not to take decisive action to protect the currency sent the exchange rate tumbling.

C$ Strengthens as Trump Revives Keystone XL Pipeline – Reuters

The Canadian dollar hit its strongest close in a week against its US counterpart as US President Donald Trump signed an executive order putting the Keystone XL pipeline back in play.