Regulators in Asia don’t appreciate the US’s effort to extend its financial rules beyond the country’s borders, continuing to tangle the international regulatory ball of yarn. Hedge funds gear up to begin public marketing given new rules from the SEC that allow the practice. Mario Monti of Italy elbows his compatriot heads of Eurozone state in an effort to convince them to let the ECB take on more government debt. Today’s First Read section features commentary in the JLN Forex box from roving JLN editor Doug Ashburn, who resigns himself to the prospect of an upcoming session of Kick the…
Category Archives: John Lothian Newsletter
The John Lothian Newsletter provides news and commentary about the global exchange traded derivatives, securities, environmental and related OTC markets. The daily email intelligence briefing and companion blog are edited by John Lothian and Jon Matte.
John Lothian Newsletter: Eurex In Singapore Expansion Drive; NYSE Euronext Chief Calls On U.S. Policy Makers To Address Debt; Suits Mount In Rate Scandal
Eurex Exchange begins a membership drive in Singapore, seeking new banks and brokers there to give a boost to its clearing house. In the “Did you not hear me, or are you not listening?” department, the head of NYSE Euronext tells U.S. lawmakers that investors want to see an improvement in the country’s debt structure. Banks and companies linked to the LIBOR rate-setting scandal could be facing tens of billions of dollars worth of lawsuits and claims. In today’s First Read, Steve Meizinger has a heart; and you’ve got one more day to check out the MGEX Apple Juice Concentrate…
John Lothian Newsletter: TSE’s Osaka Deal Marred By Share Fall, Regulator Scolding; CME May Add Rates Trading In U.K. After Currencies; SEC To Review “Quiet Period” IPO Rule After Facebook Mess
Tokyo Stock Exchange’s big merger completion symphony is interrupted by vuvuzela horns from regulators and worried shareholders. CME Group’s post-FX plans for its new London exchange may include interest-rate products. The SEC considers the value of trying to restrict what companies may say while in pre-IPO mode, possibly noting that the recent Facebook offering wasn’t helped much by that quiet period.
John Lothian Newsletter: Reform looms anew for money market funds; NYSE Amex Options to Eliminate Position Limits for Options on SPY; Japan takes its first steps
The day after the SEC declared it would abandon its effort to reform money market funds, other regulators in and out of the US say they will step up and consider new requirements. NYSE Amex Options exchange announces that they’ve received SEC approval to eliminate position limits on SPY options. With the TSE-OSE merger good to go, Japan moves toward having more weight to compete globally; the Financial Times takes a look at the progress and challenges.
John Lothian Newsletter: Exchanges hit again by trading error; Six Group on acquisition hunt; TSE’s Tender for Osaka Bourse Succeeds as Pledges Exceed Maximum
Nasdaq and other exchanges cancelled trades on Wednesday after bad orders caused prices to rise too far, too fast; perhaps adding a simple “CTRL+Z” to exchange trading platforms would be in order at this point. Switzerland’s SIX Group has extra cash in its pocket and is looking at some kind of strategic acquisition. The Tokyo-Osaka tieup continues forward, as the exchanges announce that TSE’s tender offer has succeeded. In First Read today, John Lothian announces returning and renewing sponsors for MarketsWiki.
John Lothian Newsletter: Man Group Debt Downgraded by Moody’s After Assets Decline; CME to begin clearing silver forwards; SEC Pays $50,000 in First Dodd-Frank Whistleblower Reward; GFI may buy an exchange
Man Group Plc’s (EMG) credit rating was cut by Moody’s Investors Service. CME Group has new plans to begin clearing silver contracts, adding that alongside its gold-clearing operation. The SEC rings the bell and hands out its first Dodd-Frank whistleblower payout. GFI Group, looking at new regulations requiring many transactions to take place on an exchange or trading platform, says that maybe the best answer is to just go buy an exchange in order to keep business going in the right direction.
John Lothian Newsletter: CME move highlights demand for ‘regulatory choice’; Regulator Says Broker Audits Fail to Include Required Work; Greece Readies More Cuts
CME Group’s European exchange is said to be part of a plan to allow traders access to its products from different locations with different regulatory controls. An accounting oversight board, having reviewed regulatory efforts to track brokerage capital and processes, says that those regulatory efforts fail to provide comprehensive coverage most of the time. In Europe, Greece moves closer to making additional budget cuts to stave off a fresh “do we stay or do we go” eurozone crisis.
John Lothian Newsletter: CME Said Planning Europe Exchange to Compete With Eurex, Liffe; Deutsche Bank investigated in U.S. over Iran; Canada’s ATS Battle Heats Up With New Entrant
John Lothian Newsletter: Futures Industry Leaders Discuss Insurance Fund; MIAX Moves Closer to Becoming 11th U.S. Venue; ASX Says Open to Merger of Equals as Profit Slips
CME Group, its customers and other industry participants talk over the possibility of creating an insurance fund to protect traders. The Miami International Securities Exchange makes progress towards opening its doors for business. In Australia, lack of business takes its toll on ASX, and its leader says the exchange is open to buying, merging or being taken over in order to stay viable.