Top Headlines

U.S. Raises Pressure on Iran With Sanctions on Currency Exchange – Wall Street Journal (subscription)
The U.S. took a step toward cutting Iran off from the global economy on Thursday, levying sanctions on a financing network and accusing the country’s central bank of helping funnel U.S. dollars to the blacklisted elite military unit known as the Quds Force.

Ex-JPMorgan Trader Latest Charged for Currency-Market Scam – Bloomberg
A former JPMorgan Chase & Co. trader was charged with taking part in the rigging of African, European and Middle Eastern currencies, the latest person to be accused in a global crackdown on currency manipulation.

Tracing the Evolution of a Currency Manager – Profit & Loss (subscription)
Philippe Bonnefoy, the founder of Eleuthera Capital, explains how his firm has evolved over the years in response to changes in the FX market.

Argentina’s Currency Debacle Puts its President in a Tough Spot as Old Wounds Reopen – CNBC
Argentina President Mauricio Macri asked the International Monetary Fund for help this week after a free fall in the country’s currency, reopening old wounds from previous encounters with the fund.

Regulatory News

FX: Market Struggles to Interpret Global Code  – Euromoney
The Global Foreign Exchange Committee (GFXC) is trumpeting the fact more than 100 market participants have made statements of commitment to the FX global code, but these organizations face obstacles to maintain adherence, according to consultants.

BankThink Dear Congress: Don’t Repeat Dodd-Frank’s Mistakes – American Banker
Earlier this year, a panel of judges at the Federal Circuit Court decided unanimously to lift a rule imposing “risk retention” on managers of commercial loan securitizations, because it did not comport with the statutory language of the Dodd-Frank Act.

How is the Industry Faring in a Post‑Mifid II World? – Waters Technology
The revised Markets in Financial Information Directive (Mifid II) went into effect at the start of 2018 and, as with any significant regulation go-live, there were some hiccups. Three months later, there are still gaps that need to be filled – specifically in defining which firms are systematic internalisers and should therefore report trades.

Company News

SGX Posts Continues FX Growth – Profit & Loss
SGX has reported that 1.09 million FX futures contracts were traded on its platform last month, up 88% compared to April 2017.

LMAX Posts Strong 2017 Financial Results – Profit & Loss
As LMAX Exchange Group (LMAX) reports strong 2017 financial results, its CEO, David Mercer, insists that the firm is well positioned to compete with larger FX platforms that have been acquired by exchange groups.

CME and LCH Bet on FX Options Clearing – FX Week (subscription)
CME’s cash-settled FX options-clearing solution will vie for dominance with LCH’s deliverable clearing product

Expanding Eisler Capital Just Hired an FX MD from Morgan Stanley – eFinancialCareers
Eisler Capital is expanding. Between its inception in March 2016 and the end of 2017 it added 11 registered people according to the FCA. So far in 2018, it’s added another three. And we know of at least another three more to come.

Citi Reshuffles FX Options Team – FX Week (subscription)
Two options traders leave London and a new corporate salesperson arrives; Singapore office gains new options head

Crypto News

Bitcoin Could Soar as High as $64,000 in 2019 – CNBC
Bitcoin prices could soar as high as $64,000 in 2019, according to investment research firm Fundstrat. Fundstrat co-founder Tom Lee, says the economics of bitcoin mining could help propel bitcoin prices

Korea’s Biggest Crypto Exchange Raided Over Suspected Fraud: Report – Coindesk
Prosecutors in South Korea have reportedly raided the largest cryptocurrency exchange in the country, UPbit.

Ethereum Co-Founder Battles ‘Dr Doom’ Roubini to Crypto Debate Draw – Coindesk
Nouriel Roubini was in full attack mode in his latest crypto debate.

Market Savvy

Bond Investors Face Shrinking Rewards From Emerging Market Currencies – Wall Street Journal (subscription)
The dollar’s revival is curbing the appeal of a popular investment in emerging markets.

C$ Climbs to 3-Week High, Boosted by Higher Oil Prices – Reuters
The Canadian dollar strengthened to a nearly three-week high against its U.S. counterpart on Thursday as oil prices climbed and prospects improved for greater deal making in Canada’s energy sector.

Indonesia Has a $22 Billion Buffer for Defending Its Currency, Bank of America Says- Bloomberg
Bank Indonesia has a $22 billion buffer for defending the rupiah before alarm bells ring about its foreign reserves, according to Bank of America Merrill Lynch.

Nigeria Naira Bid-Offer Spread Widens, Suggesting Pressure on Currency – Reuters
The gap between Nigerian banks’ bids to buy and sell the naira to investors is widening due to a tight supply of dollars in the market, traders said on Thursday, suggesting the currency is coming under international pressure even as government finances improve.