US Traders’ Algorithms Face Tougher Scrutiny – Financial Times (subscription) As many as 100 trading groups that generate more than a third of volumes on futures exchanges would have to register and let the government inspect their secret source code under a US regulator’s plan to patrol the frontiers of electronic markets.
Draghi’s `Whatever It Takes’ Was Confidence Trick, Stiglitz Says – Bloomberg Joseph Stiglitz, the Nobel-prize-winning economist, said that Mario Draghi’s 2012 pledge to shield the euro zone only papered over the cracks that are caused by the faulty design of the currency bloc.
EU Strikes Deal on Rules to Prevent Rigging of Market Benchmarks – Reuters European Union negotiators reached a preliminary agreement on Wednesday on new rules to stop the rigging of market benchmarks, after attempted manipulation of the Libor and Euribor interest rates indexes by banks.
Lack of Clarity Over Spoofing as Schneiderman Targets FX – Profit & Loss As New York attorney general, Eric Schneiderman, investigates alleged spoofing activity in the FX markets, legal experts indicate that it is unclear how the rules regarding this behaviour will be enforced.
Bank Profits Hit $40.4 Billion in Third Quarter, FDIC Says – Bloomberg US banks earned $40.4 billion in profits for the third quarter, a 5.1 percent increase from a year earlier, the Federal Deposit Insurance Corp. said Tuesday.