Top Headlines

US Places Five Countries on FX Monitoring List – Profit & Loss

The US Treasury has named five nations on a “monitoring list” for exchange rate manipulation in a new semi-annual report, including, a little bizarrely, Germany.

Only Way is Up for Oil Price – The Times (subscription)

The oil price may have reached its floor after touching decade-low levels this year because of fears about a supply glut and a stand-off between the big producing nations, according to the world’s leading energy official.


Craig Wright Revealed as Bitcoin Creator Satoshi Nakamoto – BBC

Australian entrepreneur Craig Wright has publicly identified himself as Bitcoin creator Satoshi Nakamoto.

Fed’s Dudley: Evidence on Liquidity Deterioration “Mixed” – Profit & Loss

Federal Reserve Bank of New York President William Dudley has told a gathering that “the evidence that market liquidity has diminished is mixed”.

Puerto Rico Says Will Default on Government Development Bank debt Monday – CNBC

Puerto Rico will miss a major debt payment due to creditors Monday, registering the largest default to date for the fiscally struggling US territory.

Yen Still Strengthening: Will It Break Through ¥100? – fastFT (subscription)

The yen is firmer on Monday, sitting at an eighteen month high after strengthening as much as 0.3 per cent.


Spanish Politics Enters Uncharted Waters as Fresh Election Looms – Bloomberg

The first phase of Spain’s second political transition draws to a close on Monday with four different parties sharpening their attacks for a renewed assault on government.

Regulatory News

FCA Warns Deutsche on ‘Serious’ Financial Crime Control Issues – FT (subscription)

Deutsche Bank has “serious” and “systemic” failings in its controls against money laundering, terrorist financing and sanctions, according to confidential findings by the UK’s financial watchdog, which had already put the lender in supervisory “special measures”.

Company News

Halliburton and Baker Hughes Abandon $28bn Tie-Up – FT (subscription)

The energy group Halliburton has abandoned its $28bn pursuit of rival Baker Hughes after antitrust authorities moved to block the deal, leaving it to pay a $3.5bn termination fee which formed part of a provision agreed during the takeover talks.

Saudi Aramco: How Do You Put a Price Tag on the World’s Most Important Company? – Daily Telegraph

Oil super-giant Saudi Aramco is poised to become the world’s largest company with a multi-billion dollar listing which draws from just a fraction of its total corporate heft.

Market Savvy

Volumes Recover…Slightly – Profit & Loss

The first batch of platforms to report April volume data have seen slight increases from March 2016, no doubt helped by volatility late in the month in the yen, however the picture on a year-on-year basis is more mixed.

Currency Managers Flat in March – Profit & Loss

The Parker FX Index fell by 0.03% (-0.02% on a risk-adjusted basis) in March with 28 of the 31 programmes in the Index reporting results

China Factory Stabilization Shows Little Need for Added Stimulus – Bloomberg

With new data suggesting that China’s economy stabilized in April amid a property recovery and credit surge, analysts say there is little need for stepped-up monetary easing in the immediate future.

Worries Mount over China’s Bond Market – FT (subscription)

Two-plus years of a near-unbroken rally and a market might perhaps be forgiven for a pullback — unless that market is in China, where the sharpest monthly jump in bond yields since the rally began has prompted worries another mainland boom looks on borrowed time.