Top Headlines
Shaving Milliseconds Off Currency Trades Could Make Singapore Billions – Bloomberg
Singapore is grabbing an opportunity measured in milliseconds to win a bigger slice of the world’s $5.1 trillion-a-day foreign exchange market. The Southeast Asian nation is encouraging major FX players to build systems in the country that would remove the sub-second delay caused by routing trades via Tokyo or London.
By-Passing Banks Will Not Work (opinion) – Profit & Loss
I noticed that an old favourite turned up in the news cycle last week and that is peer-to-peer matching; more specifically, asset managers seeking to by-pass the banks because the latter are able to “read” their intentions. It won’t work.
CTAs: Feeling the Heat – Profit & Loss
CTAs capped a generally poor decade of performance with a particularly bad year of losses in 2018. Given this, is the rationale for investors including CTA strategies in their portfolio still valid?
In the FICC of It (podcast) – Profit & Loss
The podcasters look at the future of single dealer platforms, what the bigger players can learn from their regional counterparts, and the new tailored connectivity culture in markets.
Towards a New Data Landscape – Tabb Forum
Global spending on financial market data and analysis increased to a record 7.0% over 2018, reaching $30.5 billion. Bloomberg and Refinitiv continue to account for the largest share of the market, but industry growth was driven by firms such as Moody’s Analytics, IHS Markit, S&P Global and Morningstar.
Regulatory News
Brexit ‘Rules of the Game’ Urgently Needed, UK’s Bailey Says – Bloomberg
The UK’s financial regulator said British and European Union negotiators need to undertake “a big debate” over post-Brexit oversight to allow for open markets and resolution of disputes.
US, China Officials to Resume Trade Talks April 30 in Beijing – Bloomberg
Trade negotiators led by US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin will travel to Beijing next week, the White House said, as both sides work to reach a draft agreement by next month.
UK Starts Search for Carney Successor at Bank of England – Bloomberg
The UK formally kick-started its search for Mark Carney’s successor as governor of the Bank of Englandd, a role that’s been linked to both senior people within the institution and ex-central bankers around the world.
Feds Drop Case Against Naperville Programmer – Crain’s Chicago Business
Federal prosecutors have dropped all charges against a computer programmer it had alleged aided a London trader who took part in the May 2010 “flash crash.”
Crypto News
Crypto’s Long Road to Acceptance May Have Started Here – Bloomberg
In the wake of the 2018 crash, two dozen traders gathered to plan crypto’s emergence as a new asset class. Step one: a clearinghouse.
Getting to Market Fast is the Difference Between Success or Failure – JLN
Bcause, the crypto mining, spot and futures trading market, is the latest to hit the brakes, having recently filed for Chapter 11 bankruptcy reorganization. What is admirable about Bcause is the scope and the vision of the enterprise.
ErisX Testing New Crypto Exchange; TDAmeritrade Looking to Link Up – The Block
ErisX, the Chicago-based crypto exchange, is gearing up to launch its market for spot crypto trading, and it’s recently been in test mode with some prospective firms hoping to link up to its marketplace.
Societe Generale Issues €100m Bond on Ethereum – Profit & Loss
Societe Generale has revealed that on April 18 its subsidiary, Societe Generale SFH, issued €100 million of covered bonds as a security token, directly registered on the Ethereum blockchain.
Company News
Deutsche Bank-Commerzbank Merger Talks Collapse – Financial Times
Deutsche Bank and Commerzbank on Thursday abandoned their merger talks, bowing to shareholder pressure and employee resistance in a move that may open the door for foreign rivals to acquire the smaller of the Frankfurt-based rivals.
P&L Talk Series with Bid FX’s Jean-Philippe Male – Profit & Loss
Bid FX recently announced that Singapore Exchange has bought a 20% stake in the company, with an option to acquire a controlling interest. The firm’s CEO, Jean-Philippe Male, talks about the rationale behind the deal, and some of the structural trends that he sees shaping the FX market.
A Closer Look At: A New Way to Trade FX – Profit & Loss
Goldman Sach’s David Wilkins, global head of e-FX sales, and Ralf Donner, head of client FX algo execution, talk about a new algo launch that they say offers a new way to trade FX.
Market Savvy
Sterling Stuck Near 10-Week Low on Brexit Woes and Resurgent Dollar – Reuters
The British pound was stuck near $1.29 – a 10-week low – on Thursday after reports Prime Minister’s Theresa May’s talks with the opposition Labour Party over Brexit had run into the sand and as a resurgent dollar encouraged sterling selling.
Swedish Crown Falls to 17-Year Low After Central Bank Delays Rate Hike – Reuters
The Swedish crown plummeted to a 17-year low on Thursday after the country’s central bank delayed its next interest rate hike.
Rates Traders May Be Thinking of a 1998-Style Fed Rate Reduction – Bloomberg
Bond traders are gaining confidence that the Federal Reserve will see prevention as the best medicine, in an echo of its policy prescriptions from two decades ago.