Top Headlines

Sterling Set for Second Week of Gains as Brexit Talks Eyed – Reuters

Sterling rose and is set for a second consecutive week of gains as investors covered their short positions before the weekend with Britain’s path out of the European Union looking complicated.

US Dollar Drops on Reports Mueller Subpoenaed Trump Campaign – Financial Times (subscription)

The US dollar dropped suddenly against a host of global currencies in Asia trading after reports that US President Donald Trump’s campaign was last month served with a subpoena requesting documents related to Russia.

Dollar in Danger of Weakening for Six Years, Morgan Stanley Says – Bloomberg

The dollar is threatened by six years of weakness as stronger global growth will outweigh any boosts from interest-rate increases by the Federal Reserve, according to Morgan Stanley.

Yen, Pound Hit Multi-Week Highs as Dollar Drops in Asia – Financial Times (subscription)

The dollar took a sudden dip against a host of global currencies during Asia trading, sending Japan’s yen and the British pound to multi-week highs.

Euro Is a Haven and So Much More to Traders – Bloomberg

When the going gets tough, traders are increasingly buying the euro these days.

FX Firms Behind the Curve on MiFID II: Survey – Profit & Loss

A new survey by trading technology provider Integral Development Corp finds that FX market participants face a race against the clock to be fully prepared for MiFID II.

UBS, RBS, HSBC, Barclays Note Difference Between FX Spot Trading and FX Consumer Retail Transactions to Rebuff Legal Complaint – Finance Feeds

A lawsuit involving a number of top banks accused of conspiring to fix FX benchmark rates now hinges upon the difference among various type of forex activities and upon the question of personal/general jurisdiction.

Goldman Sachs Create Frankfurt Holding Company Ahead of Brexit – Bloomberg

Goldman Sachs Group is creating a Frankfurt-based holding company to prepare for Brexit, according to people with knowledge of the plan.

JP Morgan Begins Telling UK Staff Being Relocated to the EU – The Telegraph

JP Morgan has begun telling staff whether or not they will be relocating to the European Union ahead of Brexit, a senior boss at the US investment bank has said.

JP Morgan CRO: CCPs Need Extra Tail-Risk Buffers – Risk (subscription)

The chief risk officer of JPMorgan Chase has called for clearing houses to hold additional resources to cope with tail risks such as a gapping market or a catastrophic cyber event.

US Treasury Dealers Accused of Collusion by Big Investors – Financial Times (subscription)

The suit filed alleges that a smaller group of seven banks, including JPMorgan, Barclays, Citi and Goldman Sachs, joined forces to prevent large institutional investors from seeing the best prices on venues such as the bank-supported Tradeweb or Nex Group’s BrokerTec.

Cryptocurrency Exchanges Expand Offerings as Concerns Remain – Euromoney

Fees and regulatory uncertainty remain a concern for traders as cryptocurrency exchanges continue to broaden the range of fiat currencies they support.

Regulatory News

CFTC Flags Global Progress on Swaps Reporting Standards – Risk (subscription)

Global regulators are making progress in aligning swap data reporting requirements, with at least one of three standards expected to be finalised within months.

Senate Approves Joseph Otting for Top Banking Role – Wall Street Journal (subscription)

The Senate approved Joseph Otting as the comptroller of the currency, filling one of the remaining positions on the Trump administration’s financial team.

How Trump Can Give Wall Street What It Wants – Bloomberg

The president can’t cancel Dodd-Frank, but he can change the way it’s enforced.

The Mifid II Elephant Lurking in the Derivatives Trading Room – Financial News

Trading less liquid asset classes on exchanges could cause major problems when Mifid II goes live in early January.

Company News

Bitcoin Futures Face Safeguards to Tackle Wild Gyrations – Financial Times (subscription)

Traders eagerly awaiting the debut of bitcoin futures will face tougher risk standards says the chief executive of the CME Group as the exchange operator plans to launch contracts on the highly volatile cryptocurrency.

CBOE’s FX Market Share Jumps to New High, Spurred by Asian, European Trading – Finance Magnates

CBOE managed to achieve a record high 14.5 percent FX market share in October.

Vela Unveils SI Data Hub – Profit & Loss

Market access technology provider Vela has announced the launch of its Systematic Internaliser (SI) Data Hub, part of its MiFID II solution suite.

TNS Adds Cloud Connectivity Services – Profit & Loss

Transaction Network Services (TSN) has launched a new connectivity solution, TNS Secure Cloud Connect, which, the firm says has been designed to provide secure, resilient and easy access to a range of cloud services, including those from the major cloud providers.

Market Savvy

India’s Rupee Climbs More Than 1% After Moody’s Rating Upgrade – Financial Times (subscription)

India’s rupee gained as much as 1.1 per cent to the strongest level in a week after Moody’s upgraded the country’s sovereign rating on expectations of continued progress for economic and institutional reforms.

LatAm Currencies Firm as Risk Appetite Revives – Reuters

Latin American currencies strengthened as investors cautiously returned to emerging markets following a selloff in the previous session.