Source: John Lothian Newsletter
At long last, London Stock Exchange’s increased stake in LCH.Clearnet appears clear to complete, as shareholders in both companies approve the amended deal. The Warsaw Stock Exchange, after two years of complaints from brokerages that extended hours have simply increased costs while diluting activity, will cut back its trading hours beginning next month. Australia tosses [...]
Read article
Source: John Lothian Newsletter
March 27, 2013: Commodities trading rule calls rejected; European Regulators to Charge Big Banks; ICE And Gasunie Announce Launch Of ICE Endex Switzerland considers strict regulation of commodity trading in the country, and passes it by in favor of consulting on voluntary compliance. European antitrust regulators ready their fingers of accusation (and possibly a stack [...]
Read article
Source: John Lothian Newsletter
IntercontinentalExchange considers creating shorter trading hours for its soft products, hoping to increase liquidity by packing trades tighter together. The SEC gives a thumbs-up to Nasdaq’s offer to pay sixty mil to parties injured by its Facebook IPO problems; other folks (such as bank UBS) find the plan less than satisfactory and continue to advocate [...]
Read article
Source: John Lothian Newsletter
New trading venue Aquis Exchange plans an unusual fee structure as part of its strategy to compete in Europe. An outage at clearing house LCH.Clearnet late last year turned out to be a lot more than that, as the Bank of England reveals significant risk to UK payment systems. The contentious European financial transaction tax [...]
Read article
Source: John Lothian Newsletter
ICE and NYSE Euronext want the EU to bless their anticipated merger, in the hope of avoiding regulatory quicksand in a variety of other nations. The Italian Stock Exchange announces the creation of a bond trading platform to accommodate new regulations. In the USA, regulators are concerned that banks are returning to high-risk behaviors that [...]
Read article
Source: John Lothian Newsletter
The Shanghai Futures Exchange considers extending its trading hours in order to better keep up with international developments. Trading company Getco shuts down Hong Kong operations, at the same time receiving regulatory approval to start up in India. The European Central Bank tells eurozone lawmakers to hurry up and harmonize settlement systems, or risk losing [...]
Read article
Source: John Lothian Newsletter
The CFTC’s Scott O’Malia says that the agency is receiving so much computer-crashing data with regard to market trades, that it is not effective in tracking swaps activity. ICE adjusts the collar and tie on its bid for NYSE Euronext, in order to make it more attractive for regulatory reviewers. The head of Hong Kong [...]
Read article
Source: John Lothian Newsletter
ICE Clear Credit tosses plans to start single-name credit-default swap clearing after an SEC policy change caused heartburn on the buyside. Yesterday’s mini-option debut produced “respectable” volume across multiple venues. CME Group turns on the lights for its London interest rate swaps clearing service. First Read Let the games begin Steve Grob, Fidessa Sitting at [...]
Read article
Source: John Lothian Newsletter
The CFTC plans to look over high-frequency trading activity for the presence of wash trades, where transactions take place without actually establishing a market position. Ministers in Cyprus float the idea that they should unceremoniously tax the savings of everyone in the country, and discover that the whole world doesn’t like the idea much. Trading [...]
Read article
Source: John Lothian Newsletter
TMX Group’s chief says that their controls on electronic trading have created benefits for the market, and he thinks the rest of the world should pay attention. Swaps traders have routed half a trillion dollars worth of swaps through clearinghouses since Monday’s start of the new regulatory regime. An upcoming overhaul of energy trading rules [...]
Read article
Source: John Lothian Newsletter
CME Group is considering listing trading products of alliance partners alongside its own in its new London trading venue. The head of Hong Kong Exchanges expects China to have open markets and a floating currency within five years. Following the implementation of a financial transaction tax, Italy notes a significant decline in trading volume. First [...]
Read article
Source: John Lothian Newsletter
Investors faced with Dodd-Frank clearinghouse rules are finding it increasingly complicated to get out of some derivatives trades. Bloomberg LP says that if the CFTC doesn’t reverse course on setting higher collateral for swaps than futures, they’re taking the regulator to court. Singapore Exchange announces a series of alliances and product offerings, as it hopes [...]
Read article
Source: John Lothian Newsletter
Regulators in Japan give DTCC a license to create a clearing data warehouse for OTC derivatives. Pension funds are struggling to find asset classes that seem likely to produce much of a return. Shanghai Futures Exchange’s chairman wants China to hurry up with opening its markets to more foreign participation. First Read Jill Sommers Reflects [...]
Read article
Source: John Lothian Newsletter
IntercontinentalExchange targets May as it’s planned release date for credit-default swap futures. Russell Investments teams up with CBOE and NYSE to create stock index option investment products. New derivative reform rules are slated to take effect this week in both Europe and the USA. First Read ICE Offers Pledges on Soft Commodity Markets JACOB BUNGE [...]
Read article
Source: John Lothian Newsletter
The SEC takes a step towards standardizing and improving computerized trading. According to the WFE, derivatives trading around the world took a double-digit hit last year. The new head of the Warsaw Exchange says that actually, it might be ok after all to merge with other exchanges. In today’s First Read, take a look at [...]
Read article
Source: John Lothian Newsletter
CME Group gets an extra piece of swap-data regulatory cake from the CFTC. Exchanges and tech companies are in stiff competition to win the right to build a national stock market monitoring system. The London Stock Exchange and LCH.Clearnet have agreed (again) to new terms for the partial takeover of the clearinghouse. First Read ISE [...]
Read article
Source: John Lothian Newsletter
Gary Gensler is asked for a second dance as head of the CFTC by the US administration; no word yet on whether he’ll accept. Nasdaq thinks they’re more likely to acquire interest in additional markets such as currencies and bonds, as a way to expand, rather than hooking up with another major exchange player. The [...]
Read article
Source: John Lothian Newsletter
CME Group forges forward to the past, as it unwinds most of a controversial extension in grain trading hours. Goldman Sachs appears to have found a way to handily circumvent the Volcker rule for doing buyouts. Over in London, the FSA releases a report on its behavior with regard to the LIBOR scandal, and concludes [...]
Read article
Source: John Lothian Newsletter
Nasdaq OMX wants more customers, even if it has to lose money to get them. European banks find themselves answering to the law in the USA over global transactions and business practices that run afoul of regulations. Nikkei index trading in Osaka is suspended for technical problems, the first time since the trading platform came [...]
Read article
Source: John Lothian Newsletter
The Mexican Stock Exchange forms a strategic agreement with the exchange in Peru, and takes a stake in the shares of that exchange. The CFTC prepares to “pull a Maker’s Mark” and water down its upcoming rules for swap execution facilities; but unlike the whisky manufacturer, the CFTC’s customers may not all fly into a [...]
Read article