Top Headlines

US-China Trade Deal Signing Could Be Delayed to December; London a Possible Venue – Reuters

A meeting between U.S. President Donald Trump and Chinese President Xi Jinping to sign a long-awaited interim trade deal could be delayed until December as discussions continue over terms and venue, a senior official of the Trump administration told Reuters.

UK Election: Conservative Lead Drops Two Points to 11% – Sky News

The Conservative lead has dropped to 11 points, according to the first poll conducted by YouGov for Sky News.

US Collected a Record $7 Billion in Tariffs in September – Wall Street Journal

The US collected a record $7 billion in import tariffs in September, fresh figures show, as new duties kicked in on apparel, tools, electronics and other consumer goods from China.

BOJ’s Kuroda: To Continue Massive Monetary Stimulus to Hit 2% Inflation – Reuters

Bank of Japan Governor Haruhiko Kuroda said on Thursday that the central bank would continue with massive monetary easing to achieve its 2% inflation goal while adding “it’s taking time” to hit the target.

Spain Prays for a Solution to Political Deadlock – Financial Times

The country will hold a fourth election in as many years. Polls suggest the impasse could continue.

Fed’s Williams Says No Rate Changes Penciled In, Economy Will Drive Policy – Wall Street Journal

Two top Federal Reserve officials said that they don’t see a need right now for the central bank to press forward with more rate cuts after lowering the cost of short-term borrowing several times this year.

Greek Government Bonds Continue Odyssey to Safe Status – Bloomberg

Greece’s benchmark bonds are going from strength to strength, and nowhere is that more noticeable than in the yield spread against their peers in Italy.

Friends and Enemies: France is a Big Loser from Brexit – Financial Times

When Britain leaves, the power imbalance between Berlin and Paris will be laid bare.

Regulatory News

US Lawmakers Seek to Ban Federal Pension Fund from Investing in China – Reuters

A group of US lawmakers introduced legislation that would block a federal retirement fund from investing in Chinese stocks.

Europe’s Market Traders Call for Later Start and Shorter Day – Australian Financial Review

Two of the largest industry bodies in European financial markets are lobbying the London Stock Exchange and other trading venues to open later and shorten their working day by 90 minutes, in a bid to boost liquidity and improve workers’ mental health.

Repo Ructions Highlight Failure of Post-Crisis Policymaking – Financial Times

The old ‘Greenspan put’ is now a Powell promise: fear not, the Fed is there for you.

German Finance Ministry Signals Support for European Banking Integration – Wall Street Journal

Germany’s finance ministry for the first time opened the door to policies that could pave the way for a more unified European banking system, though questions remain over whether the political will exists to push through the long-talked-about overhauls.

Crypto News

Atom’s LSE-Powered Crypto Exchange Promises to Be Really Fast – Bloomberg

Atom Group, a Hong Kong-based startup, says it’s about to make Bitcoin trading at least 10 times faster than transactions taking place on some of the largest digital-asset exchanges.

SFC Unveils Regulatory Framework for Crypto Exchanges – Regulation Asia

Under the new framework, announced at Hong Kong Fintech Week, platform operators that offer trading in virtual assets classified as securities may seek Type 1 and Type 7 licences from the SFC.

First-Time Bitcoin Buyers ‘Doubled’ in Square’s Q3 Report – Coin Desk

Square processed $148 million in bitcoin sales in the third quarter of 2019.

Analyst Warns Bitcoin Whale Could Crash Crypto Market – Daily Hodl

The entrepreneur behind the crypto tracking platform Whale Alert says a single Bitcoin whale could crash the market, dragging down Ethereum, XRP and the entire altcoin market.

A Crypto Arab Spring? – Forbes

Revolutions face long odds, and even when they succeed, they can turn into pyrrhic victories. Is there a reason why the current rebellion could be different? Yes, because unlike in 2011, crypto and blockchain have gone mainstream.

Company News

Michael Spencer Backs Start-Up Aimed at Smoothing Bond Markets – Financial Times

Icap founder and City veteran Michael Spencer is backing a start-up that promises to smooth the often-unwieldy processes behind the bond market, with a software platform enabling banks and investors to exchange vital data in real time.

Mitsubishi to Shut Singapore Oil-Trading Unit After Unauthorised Losses – Reuters

Mitsubishi Corp, Japan’s biggest trading group, said it would shut its Singapore-based crude oil and fuel trading unit after revelations in September that a trader there racked up enormous unauthorised trading losses.

UBS and Banco do Brasil to Launch New Investment Bank in South America – Reuters  

UBS Group AG and Brazilian state-controlled lender Banco do Brasil SA are set to launch an investment bank in South America, UBS said.

Wall Street Slashes Forecasts for US Corporate Earnings – Financial Times

Wall Street has significantly scaled back earnings expectations for US companies for the final three months of 2019, putting the S&P 500 on track for its slowest annual pace of earnings growth in four years.

China Corporate Results Flash Warning Sign On Economic Slowdown – Nikkei Asian Review

Falling Chinese corporate profits are flashing a warning sign about the country’s deepening economic slowdown, according to an analysis by the Nikkei Asian Review, and easier bank credit can only do so much to keep growth going as bad loans have already hit alarming levels at some lenders.

Market Savvy

Dollar to Stay Mighty for Another Six Months at Least: Poll – Reuters

The dollar’s persistent and confounding strength will continue well into next year, and even if a partial US-China trade deal is signed it will at most knock the currency by 1-2% in the immediate aftermath, a Reuters poll found.

Pimco Cools on UK Government Debt as Election Nears – Financial Times

Pimco, one of the world’s largest bond investors, is giving UK government debt a wide berth, reflecting concerns that a post-election borrowing binge promised by all the major political parties could add to pressure on prices.

Why the World Economy Could End Up with a Double Boost – South China Morning Post

The trade war has worried central banks enough to prompt interest rate cuts. However, the effect of this will only be felt later and could coincide with phase one of a US-China trade settlement.

Colombia Central Bank Technical Team Predicts More Expansive Rate – Reuters

The technical team at Colombia’s central bank sees a more expansive interest rate next year than that predicted by the market, the team’s director said.

Reluctant PBOC Seen Limiting Support for China’s Bond Market – Bloomberg

While this week’s move by the Peoples Bank of China to trim a benchmark for bank funding costs has helped halt a slide in the country’s bonds, market participants see little scope for more robust moves by the central bank that could offer further support.

As US Crude Oil Goes Global, Hedging Goes Local – Reuters

The booming US oil sector is seeing a surge in hedging by producers against drops in regional crude prices to protect revenues from oil sold out of Midland, Texas, or delivered to terminals in Houston after relying for decades on global benchmarks.