Top Headlines

Where to Look for Triggers for Next Currency Flash Crash – Bloomberg

If once is an accident and twice a coincidence, traders looking for a third currency flash crash are surely poring over Japan’s holiday calendar by now, bracing for enemy action. Last week’s yen-driven crash that sent the Turkish lira into a tailspin and a sudden plunge in the South African rand in January 2016 had three things in common.

Pound Options Show Traders Positioning for Delay to Brexit Date – Bloomberg

Pound options traders seem to be positioning for the possibility that the UK will delay its exit from the European Union.

ECN Volumes Make Significant Gains in 2018 – FX Week (subscription)

Foreign exchange electronic communication networks made significant volume gains in 2018, compared with the previous year, with trading platform FXSpotStream experiencing spot daily averages that were 50% greater than in 2017.

Regulatory News

Lobbyists Seek Eleventh-Hour Brexit Relief for UK Futures – (subscription)

Eight industry associations are making a last-ditch bid to protect European users of exchange-traded derivatives from one of the weirder outcomes of a no-deal Brexit, after a European Commission action plan failed to offer them relief.

A Tenth of Users ‘Don’t Know’ if Libor Death Affects Them, Survey Finds – (subscription)

A survey of the financial industry shows roughly one in 10 market participants don’t know if they have any contracts that will be affected by the potential discontinuation of Libor after 2021.

CME to Spur SOFR Adoption with Packs, Bundles – Global Investor (subscription)

The execution strategy will allow users to transact multiple futures via a single order from Q1 this year.

Crypto News

New York Sticks With Crypto, Opening Blockchain Center Amid Rout – Bloomberg

New York isn’t giving up on the digital-ledger technology that makes Bitcoin and other tokens work even after last year’s collapse of the cryptocurrency market.

Bitwise Files to List Bitcoin ETF on NYSE Arca – The Block

Crypto asset manager Bitwise filed a Form S-1 with the Securities and Exchange Commission to list its physically held bitcoin ETF on NYSE Arca. 

OTCXN Continues Growing its Network – Profit & Loss

OTCXN, a blockchain-powered capital markets infrastructure company has announced that Fractal Wealth, a proprietary algorithmic trading firm that trades digital assets, has joined its network.

Company News

SGX Completes First USD/CNH FlexC FX Futures Trade – Profit & Loss

Singapore Exchange (SGX) has successfully completed the first USD/CNH Flexible FX futures trade. The transaction involved Bank of China (Singapore) and ICBC (Singapore) executing two CNH FlexC FX futurised swap trades on SGX.

Morgan Stanley is Cutting Dozens of Jobs Across Sales and Trading Right Before Year-End Bonuses – Business Insider (subscription)

Morgan Stanley is cutting dozens of employees from its sales and trading staff as part of a year-end review. The bank will tell affected employees this week.

Hooker Leaves Consultant Role at Capitolis – FX Week (subscription)

Former co-head of EBS BrokerTec Markets Darryl Hooker has left his consultant position at post-trade services firm Capitolis, 

DTCC, Ice Clear Europe Lead Top CCPs in Boosting Liquidity Buffers – (subscription)

Ten of the largest central counterparties added $20.8 billion to their liquidity buffers during the third quarter of 2018 – a 4% increase on the second quarter – having extended credit lines, placed more cash with commercial banks and grown their portfolios of marketable securities.

Cinnober Shareholders Approve Nasdaq Takeover – Waters Technology (subscription)

The US exchange group is to acquire the Swedish financial technology firm after submitting a revised offer.

Market Savvy

Dollar Slips on Fed Chief’s “Patient” Comments – Reuters

The dollar fell versus its major peers on Friday, as investors grew increasingly confident that the US Federal Reserve may hit the pause button on monetary tightening this year.

Russia to Resume Forex Purchases after Sanctions Hiatus – Financial Times (subscription)

Russia’s finance ministry said it is resuming foreign currency purchases on open markets after fears over US sanctions saw it halt them last year to head off a slide in the rouble rate.

Renminbi on Track for Best Week Since 2005 as Dollar Slips – Financial Times

China’s currency was heading for its best week against the dollar in more than a decade on Friday as the greenback slipped in Asia trading.