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Author Archives: Jeff Bergstrom

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Bergstrom is chief information officer of John J. Lothian & Co. He edits MarketsWiki and JLN Options.

CME Considers Bidding for Michael Spencer’s NEX Group Standard

NEX

First Read Hits & Takes JLN Staff Wednesday night I was about to head home when I ran into a friend outside the Bar Luna at the Boca Raton Resort and Club. He told me about a rumor the CME was going to buy NEX and some other details about potential counter-bids or the sale of parts of NEX that CME may not want. That news caused me to stay at the bar until 1 PM in search of other sources, but I found none. I did find sources yesterday who confirmed the CME was having an emergency board meeting,…

Cyber threats force US clearing house on to cloud Standard

x~OBSERVATIONS Tempers Flare in U.S.-EU Spat Over Clearinghouse Supervision Regulators trade public barbs at industry conference in Florida; CFTC Chairman J. Christopher Giancarlo has repeatedly said that European supervision of U.S. entities would be unacceptable. Gabriel T. Rubin – WSJ (SUBSCRIPTION) Tensions between the U.S. and European Union over the supervision of clearinghouses boiled over publicly on Wednesday, with top regulators trading barbs and recriminations at an industry conference. https://goo.gl/AVF1jG ***SD: We covered the rowdiness and insults traded at yesterday’s “10 Years On” panel featuring Barney Frank. While that was quite the memorable experience, the above spat is the one…

What’s the Biggest Trade on the New York Stock Exchange? The Last One Standard

First Read Hits & Takes JLN Staff CFTC Chairman Chris Giancarlo opened his speech to the FIA International Conference in Boca Raton by honoring Leo Melamed and his contributions to the industry upon which all market participants benefit. Leo is the giant “upon whose shoulders we all stand,” Giancarlo said, noting Leo had announced his retirement from the CME Group’s board. It was a classy display from the popular CFTC Chairman. Kudos Mr. Chairman!~JJL During the lunch at the FIA Conference, before the presentation by the journalist and author Walter Isaacson, a tribute video was shown honoring Mike Dawley, who…

ETFs not to blame for market turbulence, says BNY Mellon Standard

turbulence

Observations & Insight Boca Takeaways Spencer Doar – JLN The “Ten Years On: A Retrospective View of the Financial Crisis” panel led to the most fireworks of the conference thus far. We are 10 years on from the crisis, and it is extremely clear that no one views those events the same way. Paul Atkins, CEO of Patomak Global Partners, at one point took issue with former Congressman Barney Frank’s take on Fannie and Freddie, saying, “You should take an accounting class,” to which Barney Frank shot back, “Don’t be so condescending.” The whole panel went that way. You have…

Ten Years After the Bear Stearns Bailout, Nobody Thinks It Would Happen Again Standard

bear stearns bailout

First Read Hits & Takes JLN Staff Stephen Hawking the physicist who reshaped cosmology has died (via Bloomberg) at the age of 76. HERE is the WSJ’s story too.~JJL Boca Bits: The Singapore Exchange (SGX) saw record FX trading in 2017, with notional value in FX futures of $952 billion since their launch in November 2013, as well as record trading in iron ore of 16 million contracts. It was the first exchange in Asia to offer MSCI Emerging Market futures, and in 2018 SGX plans to complete its suite of MSCI index derivatives to offer investors the ability to…

Havens Just Aren’t Safe Anymore, Goldman Says; Hedge Funds Bet on Volatility Standard

danger zone

Lead Stories Havens Just Aren’t Safe Anymore, Goldman Says Eric Lam – Bloomberg No traditional havens had positive beta to VIX lately: Goldman; Derivative hedges will become more important, strategists say Traditional safe havens haven’t been working out for investors in the latest ructions in financial markets, strategists at Goldman Sachs Inc. warned. /goo.gl/EBC7g4 ****JB: Business Insider here. Hedge Funds Bet on Volatility Gunjan Banerji – WSJ Hedge funds are betting that the recent turbulence in U.S. stocks will persist—a reversal after wagering for more than two years that the equity market will remain calm. Leveraged funds, a category that…

Central Banks Urged to Study Digital Currency Risks and Rewards Standard

cryptocurrency dollar

First Read Hits & Takes JLN Staff Boca Bits: Today we announced in a Special Report to the readers of this newsletter that John J. Lothian & Company, Inc. has begun work on a microwiki site named CryptoMarketsWiki.com. Click HERE to see the release.~JJL Jessica Titlebaum Darmoni, founder of The Title Connection and co-founder of WILD, was on Anthony Crudele’s Futures Radio Show recently. Here is the link to LISTEN.~JJL Seismic Foundry closed its second investment on Monday with a regulation technology start-up called Enforcd, which provides a regulatory database for institutions. The platform includes news, analysis and statistics that…

New Class Action Lawsuit Alleging Systemic Manipulation of Multi-Billion Dollar VIX Index Derivative Market Announced by Cohen Milstein Standard

class action

Lead Stories New Class Action Lawsuit Alleging Systemic Manipulation of Multi-Billion Dollar VIX Index Derivative Market Announced by Cohen Milstein Press Release As controversy surrounding the CBOE Volatility Index (“VIX Index”) continues to grow, a new federal class action lawsuit filed late Friday alleges widespread manipulation of the VIX futures and options market, resulting in hundreds of millions of dollars in losses for investors across the country. The litigation, filed on behalf of investors damaged by this manipulation, is the first lawsuit concerning this market manipulation to allege violations of the Commodity Exchange Act, which prohibits market participants from improperly…

Lloyd Blankfein Prepares to Exit Goldman Sachs as Soon as Year’s End Standard

First Read Hits & Takes JLN Staff Last week the European Commission announced a “Fintech Action Plan” aimed at helping crowdfunding platforms, like initial coin offerings, in the EU.~JK On Friday, the CME officially got out of the credit defaults swaps business, as the CFTC approved the transfer of open interest to ICE Clear Credit.~JK You might not know Madelyn La Salle, but you’ve probably seen her likeness. Artist John Storrs used the then 14-year-old as the model for his six ton aluminum statue of Ceres on top of the Board of Trade building. How’d they meet? Storrs saw her…