Top Headlines

Yuan Rises Most Since 2005 as PBOC Mulls Easing Capital Controls – Bloomberg The yuan surged the most since China scrapped a dollar peg in 2005 as the central bank said it will consider a trial program in the Shanghai free trade zone allowing domestic individual investors to directly buy overseas assets.

Obama Wins Debt-Limit, Budget Truce Through End of Presidency – Reuters President Barack Obama won passage by the Congress early on Friday of legislation that lifted the threat of a default on government debt through the end of his presidency.

More Pain, Slow Gain as Europe’s New Bank CEOs Expect Grim Years – Bloomberg Europe’s biggest investment banks are telling investors that it will take years for their overhauls to bear fruit.

BOJ Holds Rates Despite Overseas Headwinds, Stagnant Inflation – Reuters The Bank of Japan held off on expanding its massive stimulus program on Friday, preferring to preserve its dwindling policy options in the hope that the economy can overcome the drag from China’s slowdown without additional monetary support.

UK Rate Rise Could Come Sooner Rather Than Later – Wall Street Journal (subscription) Several money managers expect Britain’s robust economy will prompt BOE action earlier in 2016.

Germany’s China Courtship Advances with Deutsche Boerse Venture – Bloomberg As German Chancellor Angela Merkel seeks deeper economic ties with China, Deutsche Boerse AG announced a new venture intended to strengthen financial links between the two countries.

Swiss National Bank Records Nine-Month Loss – Wall Street Journal (subscription) Third-quarter profit is insufficient to offset first-half loss, weighed by currency effects.



Regulatory News

Bank Separation May Face Higher Hurdles in EU Lawmakers’ Deal – Bloomberg Breaking up European Union banks would be tougher under a compromise reached by lawmakers from the two biggest groups in the European Parliament setting out rules to split up banks that mix trading activities with deposit-taking.



Company News

RBS Investment Bank’s Loss Almost Doubles Amid Overhaul – Bloomberg Royal Bank of Scotland Group Plc, Britain’s largest taxpayer-owned lender, said the loss at its investment bank almost doubled as Chief Executive Officer Ross McEwan dismantles the division and scales back trading businesses amid lingering costs for litigation.

StanChart Cuts Hit FX – Profit and Loss Profit & Loss understands that a number of FX staff at Standard Chartered in New York, London and Asia are leaving the bank as part of the company-wide restructuring announced in July.

Santander Falls as Interest Margins Decline in Brazil, Spain – Bloomberg Banco Santander SA saw revenue from lending decline in two of its biggest markets during the third quarter, as Brazil fell into recession and low interest rates squeezed margins at home in Spain.

Barclays to Spend $1.5 Billion to Meet Regulatory Requirements – New York Times Barclays said Thursday that it expected to spend an additional 1 billion pounds, or about $1.5 billion, over the next three years to meet new regulatory requirements intended to shield its retail customers from other parts of the bank during any future financial crisis.



Market Savvy  

FXPro Releases Q3 Slippage Stats – Profit and Loss As part of an initiative to increase transparency in the FX markets, online retail and institutional broker FXPro publishes its slippage and execution percentages for July, August and September, 2015.

Bitcoin: Jury is Still Out on Derivatives – Euromoney Bitcoin is riding high after a recent European Court of Justice ruling that users in Europe are not liable to pay value-added tax when trading the cryptocurrency.

Portfolio Margining Risk vs. Reward – TABBForum Cross margining of swaps and futures positions in the same account, which can reduce margin obligations significantly, makes a great deal of sense for the clients of a CCP.

IR Derivatives Trading Going Electronic says Greenwich Report – Finextra The business of trading interest-rate swaps is moving to electronic platforms at breakneck speed, largely driven by the implementation of Dodd-Frank.



Press Releases

Digital Asset Announces Acquisition of – Digital Asset Digital Asset Holdings and today announced that they have entered into an agreement under which Digital Asset will acquire San Francisco-based Blockstack, a firm that offers a “blockchain-as-a-service” to enable financial institutions to develop applications on a private blockchain.

CME Group Inc. Reports Strong Third-Quarter 2015 Financial Results – CME CME Group Inc reported revenues of $850 million and operating income of $516 million for the third quarter of 2015.



Industry Events