UK Forex Inquiry Comes Under US Pressure – Financial Times (subscription)
The integrity of a Bank of England inquiry is in question as prosecutors in the US probe what the central bank knew about traders’ behaviour in the foreign exchange market.
Forex Probes Caused by Isolated Traders’ Misbehaviour, Task Force Chief Says – Wall Street Journal (subscription)
A few traders are responsible for the foreign exchange scandal that is costing banks billions in fines, said the central banker assigned to help restore confidence in the market.
Five Big Banks Expected to Plead Guilty to Felony Charges, but Punishments May Be Tempered – New York Times
For most people, pleading guilty to a felony means they will very likely land in prison, lose their job and forfeit their right to vote. But when five of the world’s biggest banks plead guilty to an array of antitrust and fraud charges as soon as next week, life will go on, probably without much of a hiccup.
Hotspot Heats Up Price War – Profit & Loss (free story)
Following through on a promise given by BATS CEO Chris Concannon at Forex Network London last month, Hotspot FX has eliminated its liquidity removal prices in a range of currency pairs, it has termed the “hot list”.
Timing Key to Size of UBS Forex Penalties – Financial Times (subscription)
Timing, as the adage has it, is everything. For UBS, one of five banks trying to settle with US prosecutors over alleged manipulation of foreign exchange benchmarks, a criminal conviction and hundreds of millions of dollars in extra penalties could rest on exactly when its traders attempted to rig one of the world’s biggest financial markets.
The Problem With Benchmarks – Profit & Loss (subscription)
I am quite often asked why I detest benchmarks so much and now, thanks to the recent UK election, I have the perfect example to illustrate my distaste.
Buy Side Supports Move to Single Code of Conduct in FX Markets – Profit & Loss (free story)
Two associations representing buy-side participants active in the FX markets have welcomed the Bank for International Settlements’ (BIS) new working group set up to establish a single global code of conduct in the FX industry, announced earlier this week.
RBA ‘Must be Crying into Their Cornflakes’ Over Australian Dollar Surge –Sydney Morning Herald
The Reserve Bank of Australia and its governor Glenn Stevens face more frustration with the Australian dollar surging almost 2% as weak US economic data spurred expectations the Federal Reserve may push back its plans to raise rates.
Cyber Security the Number One Risk Concern, Says DTCC Survey – Profit & Loss (free story)
Cyber risk is the top risk concern of the financial services industry, according to a new survey conducted by the Depository Trust and Clearing Corporation (DTCC).
Russia Buys Currency First Time Since June to Boost Reserves – Bloomberg
The Bank of Russia resumed buying foreign currency in the market, making its first net purchases since June to replenish international reserves decimated by its defence of the ruble last year.