Top Headlines

Sharing Central Bank Information was Market Convention: Former Citi Trader – Profit & Loss A former foreign exchange trader who is suing Citi for unfair dismissal told a tribunal on Friday that he was unaware that sharing certain information about central banks was not permissible.

Big Banks Agree to Settle Swaps Lawsuit – Wall Street Journal (subscription) Dozen banks, Markit and International Swaps and Derivatives Association to pay combined $1.87 billion.

Banks Face New $1bn FX Manipulation Lawsuit in Canada – Profit & Loss A number of major banks are under fire in the courts again for alleged FX malpractice after a Canadian class action lawsuit seeking $1 billion in damages was brought forward on Friday.

El-Erian Says Rate Move Close Call as Bonds Suggest Fed to Wait – Bloomberg Mohamed A. El-Erian says the chance of a Federal Reserve interest-rate increase this week is too close to call.



Regulatory News

ESMA Defends Efforts to Regulate Derivatives Trades by Non-Banks – Bloomberg The European Union’s new derivatives regulations need to apply to non-financial companies as well as banks and other investment firms, according to the European Securities and Markets Authority.

Traders’ Phones Are Becoming a Zone of Total Surveillance – Wall Street Journal (subscription) At large banks, regulatory requirements and new technology change how conversations are conducted.

EU Weighs Transaction Tax as France Pushes for Wider Base – Bloomberg European Union efforts to build a financial-transactions tax among 11 nations pressed on in a bid to break a deadlock over what to tax and at what rate.



Company News

Rose Steps Up at Gain Capital – Profit & Loss Nigel Rose has been named Gain Capital Holdings’ executive vice president and chief financial officer effective October 1, 2015.

Prosecutors File Charges Against ex-CEO of Mt.Gox Bitcoin Exchange – Reuters Japanese prosecutors have filed charges against Mark Karpeles, the former head of defunct bitcoin exchange Mt. Gox, accusing him of stealing $2.7 million of clients’ money, media reported.



Market Savvy

Depth Disappears Just When Needed in $5.3 Trillion-a-Day Market – Bloomberg Turbulent trading that made August the worst month for global equities since 2012 also revealed a widening crack in the world’s largest market — foreign exchange.

BoE: Time to Re-Think How FX Movements Impact Inflation – Profit & Loss The Bank of England needs to re-think how it assesses the impact of FX movements on inflation, according to Kirstin Forbes, a member of the BoE’s Monetary Policy Committee.

Dick Grasso: Today’s Markets Aren’t Fair – Wall Street Journal (subscription) Turmoil in August was a sign something was awry with capital markets, former NYSE chief Richard Grasso says

Goldman Says QE to Weigh on Yen and Euro as Fed Holds This Week – Bloomberg Goldman Sachs Group Inc. said the yen and euro will weaken on further quantitative easing in Japan and Europe, while the Federal Reserve refrains from raising interest rates when US policy makers meet this week.

Goldman: Oil Could Hit $20 Before Huge Oversupply Cleared – Wall Street Journal (subscription) Oil prices may need to fall as low as $20 a barrel to clear the huge surplus in global markets, according to a new report by Goldman Sachs. FX Liquidity to Diversify – TABB Forum (subscription) As electronic trading gains momentum in foreign exchange, competition among electronic trading platforms will continue to intensify and liquidity increasingly will come from outside the sell side.

Buy-Side FX Shifts in Evolving Market Structure – Flextrade As electronic trading grows on the buy-side and top dealers retreat from sharing market color, exchanges are snapping up FX trading venues.



Press Releases

KCG Launches Direct-to-Client Market Making Relationship Combines Advanced Technology with Increased Transparency and Accountability to Drive Enhanced Long-term Liquidity Strategies.

Use of Thomson Reuters Eikon Messenger Surges as Companies Adopt Compliance Services – Thomson Reuters Number of companies using Eikon Messenger’s compliance services exceeds 20,000.

KRX Launches 12 Strategy Indices of KOSDAQ and Currency Derivative Markets – Korean Stock Exchange The Korea Exchange launches 12 new strategy indices to support investments in the KOSDAQ and currency derivatives markets.



Industry Events