Top Headlines

The Lunatics are Running the Asylum – Profit & Loss

It has been regularly ventured in institutional FX circles that any retail trader looking to make money in FX is crazy – there is an information disadvantage that is not compensated for by the advanced technology available to these traders.

UK Moves Closer to Brexit as The Sun Backs ‘Leave’ Campaign – Bloomberg

Britain appeared to be on course to leave the European Union, with four polls from three companies putting the “Leave” campaign ahead of “Remain.”

Germany’s 10-Year Bond Yield Declines Below Zero for First Time – Bloomberg

Germany’s 10-year government bond yields tumbled below zero for the first time on record as a weakening global economic outlook fuels demand for perceived havens.

Hindu Sena to Celebrate Donald Trump’s Birthday in New Delhi Today – International Business Times

A fringe Hindutva group called the Hindu Sena is all set to hold a grand celebration for presumptive Republican candidate for the U.S. presidential race Donald Trump on his birthday on Tuesday at New Delhi’s Jantar Mantar area.

Hotspot to Launch Outright FX Forwards – Profit & Loss

Bats Hotspot has announced it will launch deliverable FX forward contracts on its platform, targeting a launch date in late 2016.

Italy’s Berlusconi Undergoing Heart Surgery – Reuters

Italian surgeons began a four-hour heart operation on former prime minister Silvio Berlusconi on Tuesday to replace a defective aortic valve, a hospital statement said.

IMF: China Faces Growing Vulnerabilities – Reuters

China needs to implement reforms with more urgency as the economy faces growing vulnerabilities and there are fewer buffers to deal with any shocks, an International Monetary Fund (IMF) official said on Tuesday.

Regulatory News

New Filing Details BNY Mellon’s $30m FX Settlement with SEC – Profit & Loss

A new regulatory filing was made available today providing details of the $30 million settlement that BNY Mellon agreed with the Securities and Exchange Commission (SEC) last year relating to how it executed client FX transactions.

Former Equities Trader at Schroders Investment Management Sentenced for Insider Dealing

Damian Clarke, a former equities trader at Schroders Investment Management has today been sentenced to two years imprisonment having pleaded guilty to nine counts of insider dealing.

Company News

Microsoft to Acquire LinkedIn for $26.2 Billion – WSJ (subscription)

Microsoft Corp. snapped up LinkedIn Corp. for $26.2 billion in the largest acquisition in its history, betting the professional social network can rev up the tech titan’s software.

Goldman Sachs Hired Prostitutes to Win Libyan Business – The Guardian

Goldman Sachs bankers paid for prostitutes, private jets and five-star hotels and held business meetings on yachts to win business from a Libyan investment fund set up under Gaddafi regime, the high court in London was told yesterday.

XTX: Abide With Me – Profit & Loss

Non-bank market maker XTX Markets has appointed regulatory reporting specialist Abide Financial to manage its compliance obligations for multi-asset, multi-regime transactions reporting.

Standard Chartered Chief ‘Angry’ Over Ethics Transgressions – FT (subscription)

Standard Chartered’s chief executive has taken steps to stamp out a “cancer” of complacency and lax controls that he blames for recent misconduct among senior staff at the emerging markets bank.

Market Savvy

Betty Boo! – Profit & Loss

It was almost inevitable and hindsight is a wonderful thing. For as Profit & Loss’s Colin Lambert wrote in his And Finally…column only this morning: “The sharp Sterling move we reported last week and I discussed in the midweek column, seems to have adequately spooked people, for liquidity in the market has apparently dropped off a cliff.”

Global Oil Markets to Balance Out, IEA Says – WSJ (subscription)

Global oil markets are moving close to balance in the second half of this year on a significantly stronger than expected oil demand and unexpected supply disruptions, the International Energy Agency said Tuesday.

S Korea Set to Announce Stimulus Fiscal Policies – Yonhap

The South Korean finance minister said Tuesday that the government will announce a package of fiscal policies that would sufficiently stimulate the economy in the second half amid growing concerns over further economic downturn.

Abu Dhabi Fund Seeks $6.5bn from 1MDB – fastFT (subscription)

Abu Dhabi’s sovereign wealth fund is seeking $6.5bn from Malaysia’s troubled state investment fund 1MDB, after the emirates investment vehicle said its Malaysian counterpart is “in default” on an agreement between the two.

In the Works: UK-China MRF, Stock Connect – Ignites Asia (subscription)

The UK hopes to “materialise” a mutual recognition of funds (MRF) scheme with China, while the London Stock Exchange is “actively working” with its counterpart in Shanghai on a Shanghai-London Stock Connect, according to Lord Ashton of Hyde, special representative of the Chancellor of the Exchequer.