Hits & Takes
We have produced a promotional video for the Crypto Evolved event in New York on Wednesday at the New York Athletic Club. Trading Technologies’ Mike Unetich visited our offices to give the conference a plug. Please take a look and visit www.crypto-evolved.com for more details.~JJL
FIA Operations Americas Division members are invited to enjoy food, drinks and an exciting game of baseball at the 18th Annual Summer Outing in Chicago. Join the Operations Americas Division for the Sox v. Yankees on 8/8. Get the details and register~JJL
FIA Announces Fourth Annual Innovators Pavilion at FIA EXPO in Chicago.~JJL
Here are some fun numbers from the Collaborative Fund Blog: The Nasdaq 100 gained 32 percent last year. Five companies accounted for 51 percent of that return. The S&P 500 gained 108 percent the last five years and 22 companies account for half of those gains. For a more granular snippet, consider AMZN accounted for six percent of the S&P’s 2017 returns and Apple nearly seven percent.~SD
A day trader, thinking he was using demonstration software, manages to build a real $5 billion position and makes $12 million doing so. He then has his money seized by the company for violating their contract. As you might guess, he is suing the company. It was yesterday’s top story.~JB
View NFA’s new enforcement search tool.~JJL
Diving into Russell Reconstitution Day
Today is reconstitution day for Russell indices. It’s a huge volume day for exchanges as holdings are adjusted, but the market has proven more than capable at digesting that volume without much volatility. In this video, Sean Smith, FTSE Russell’s managing director of derivatives licenses, talks about the reconstitution process and FTSE Russell’s relationship with Chicago exchanges.
Watch the video here »
The Homebrewers Have Spoken: This Is America’s Best Beer
For 2018, topping the list for the second year in a row is Bell’s Two Hearted Ale. Last year, the Michigan brewery’s signature American-style IPA swiped the top spot from the legendary Californian double IPA Russian River Pliny the Elder, which once again finished second this year after holding the top spot from 2009 to 2016.
**My buddy claims Hamm’s beer wins awards – although he’s been drinking when he says it. To Bell’s, cheers.~JK
Nasdaq CEO says ICOs are ‘taking advantage’ of retail investors; Initial coin offerings have serious potential to rip off retail investors, mostly due to a lack of public information, according to Nasdaq CEO Adena Friedman.
Kate Rooney – CNBC
Cryptocurrency fundraising has brought in billions of dollars this year, mostly from retail investors. The process known as an initial coin offering exposes those investors to serious risks, according to the CEO of Nasdaq.
***** Regulated markets versus the alternative.~JJL
Thursday’s Top Three
Yesterday’s top story by a long shot was the Financial Times’ Day trader sues broker over ‘demo’ trading platform mix-up, which details how a trader built up billions in positions before realizing he wasn’t just practicing. Second most clicked was the link to the lunch event where Rumi Morales and her partners will unveil a new investing platform. Third was the super uplifting story from Bloomberg, America’s Millennials Are Waking Up to a Grim Financial Future.
128,334,444 pages viewed; 23,165 pages; 213,623 edits
The rise of a new generation of anti-Americans; Condemnations of the US are becoming routine – and may not end when Trump departs
Edward Luce – FT
In Canada they call it the Love, Actually effect. Justin Trudeau’s rebuke of Donald Trump won him the type of kudos a fictional British prime minister earned in the 2003 movie for standing up to a US president. Canada will “not be pushed around,” said Mr Trudeau to loud applause. That sentiment is rising on all sides.
***** This is a risk for all. We trade better when our values and interests are aligned.~JJL
High Court Rules Appointments Process for SEC Judges Violated Constitution; Ruling says the judges needed to be appointed by the five-member commission, not by other staff
Dave Michaels and Brent Kendall – WSJ
The Supreme Court on Thursday ruled that the government’s practice for appointing administrative-law judges overseeing cases against Wall Street defendants is unconstitutional.
****Financial Times here and Reuters here.
LCH gains approval to act as CCP in Mexico; Banco de México grants approval for LCH to act as CCP for Mexican-domiciled market participants.
Hayley McDowell – The Trade
The London Stock Exchange Group’s clearinghouse LCH has been granted approval to clear over-the-counter (OTC) interest rate derivatives in Mexico.
Japan’s Biggest Bitcoin Exchange Suspends New Business; Regulator orders bitFlyer and other cryptocurrency exchange operators to review business practices
Megumi Fujikawa and Steven Russolillo – WSJ
Japan’s biggest bitcoin exchange said it would halt taking new business after regulators said it wasn’t doing enough to stop money laundering and terrorist financing.
The Big Bang Made London. Brexit Could Undo It; Thatcher kicked off a financial revolution with an act of faith in the power of globalization. Britain’s exit from the EU is shaking the nation—and her global project—to its core.
Matthew A. Winkler – Bloomberg
If you know anything about financial history, you know about the Big Bang deregulation of London’s financial markets. On Oct. 27, 1986, Prime Minister Margaret Thatcher blew apart the inert blob that was the stagnant postwar U.K. economy and its ailing banking system. That explosion helped make London synonymous with international finance, ignited a cultural and economic transformation in the U.K., and even helped bring down Soviet communism.
Big Banks Clear Fed’s Stress Tests; Federal Reserve releases first round of results of annual exams assessing banks’ health; second part is next Thursday
Lalita Clozel and Telis Demos – WSJ
The Federal Reserve determined the largest U.S. banks were healthy enough to withstand a severe economic downturn and would continue lending during a crisis, as the industry posts record profits and prepares for a wave of regulatory relief.
‘We hope your class will accept our invitation:’ NYSE just responded to a letter from someone claiming to be a 10th grader, and it shows how weird the debate that’s tearing apart Wall Street is getting
Frank Chaparro – Business Insider
Typically when the New York Stock Exchange is defending its view of how markets should be structured it goes head-to-head with its rivals. This time, it’s going head-to-head with someone claiming to be a tenth-grader.
Online gambling: the hidden epidemic; Smartphone betting apps are used by millions — and for some it’s a dangerous addiction
Kate Beioley – FT
It was 7am and Matt Doherty was blinking at his phone. His eyes were red raw, he had not slept and was hundreds of pounds down.
Markets might look calm, but they are behaving abnormally; The pessimistic view is years of loose monetary policy have made investors complacent
Gillian Tett – FT
Do markets look a little weird right now? That is a question many investors might be asking. In recent weeks geopolitical tensions have intensified, and the monetary policy cycle is turning in both the US and Europe.
Index provider MSCI delays decision on unequal voting rights stocks
Stock index provider MSCI said on Thursday it extended its review of how to treat stocks with unequal voting rights and expects to make a decision by the end of October.
Exchanges, OTC and Clearing
US Options Volumes Remain on Record Pace Despite Slowing Momentum
Options Liquidity Matrix – TABB Forum
US options volumes slipped again in May 2018, losing some of the momentum established during a torrid first quarter, but volumes still remain on pace to hit record levels for the year. May 2018 volumes fell to 366 million contracts, from April’s 398 million contracts. However, year-to-date US options volumes represent a healthy 25.2% gain over 2017.
LCH receives recognition as a central counterparty in Mexico
LCH Ltd, a leading global clearing house, today announced that it has obtained recognition as a central counterparty from the Banco de México. The recognition for LCH’s SwapClear Service is effective from 22 June 2018 and provides a greater choice of CCPs to those participants affected by the Mexican clearing mandate.
Futurization – this time, let’s get the timing right!
The right thing at the wrong time is the wrong thing. It is as simple as that and especially true when it comes to revitalizing futurization. In the first part of this blog, I talked about the opportunities futurization would offer to us all in regard to efficiency and growth. But futurization is a complex project and if you are too early, no one buys into it and if you are too late, everybody has moved on and already forgotten about it. Timing is everything.
CME Group and National 4-H Council Partner for Sixth Year, Commodity Carnival to Visit 120 State and County Fairs
CME Group, the world’s leading and most diverse derivatives marketplace, and the National 4-H Council, the nation’s largest youth development organization, have announced the sixth year of their partnership to bring the award-winning Commodity Carnival experience to state and county fairs this summer. The highly engaging experience will tour nearly 120 fairs across eight states, helping families learn the basics of risk management in agriculture. Commodity Carnival will also continue to be available beyond the fairgrounds through the mobile companion app, Risk Ranch.
CME Group and BarclayHedge Honor Managed Futures Leaders at Seventh Annual Managed Futures Pinnacle Awards
CME Group, the world’s leading and most diverse derivatives marketplace, and BarclayHedge, recognized top managed futures industry leaders at the seventh annual Managed Futures Pinnacle Awards last night.
Nasdaq Announces the Board of Directors of its U.S. Exchanges
Nasdaq, Inc. (Nasdaq:NDAQ), today announced the election of all nominated directors to the boards of the U.S. exchanges operated by the company, which include The Nasdaq Stock Market, LLC; Nasdaq PHLX, LLC; Nasdaq BX, Inc.; Nasdaq ISE, LLC; Nasdaq MRX, LLC; and Nasdaq GEMX, LLC:
Appointment of Listing Committee Members
The Stock Exchange of Hong Kong Limited (the Exchange), a wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited (HKEX), announces the appointment of members to the Listing Committee of the Main Board and GEM (together, the Listing Committee1).
Whitepaper: The Global Financial and Monetary System in 2030; Jeffrey Tessler, Member of the Executive Board of Deutsche Boerse, contributes to World Economic Forum whitepaper
Ten years ago, the onset of the Global Financial Crisis put an end to the roaring self-confidence of Wall Street and their global likes, and society became painfully aware of how fragile the interconnected financial industry really is. A decade later, markets are on the rebound, but challenges remain – and new ones are on the come-up. A working group, established by the World Economic Forum, has now published a whitepaper discussing potential scenarios for the global financial and monetary system in 2030.
Google Engineers Refused to Build Security Tool to Win Military Contracts; A work boycott from the Group of Nine is yet another hurdle to the company’s efforts to compete for sensitive government work.
Mark Bergen – Bloomberg
Earlier this year, a group of influential software engineers in Google’s cloud division surprised their superiors by refusing to work on a cutting-edge security feature. Known as “air gap,” the technology would have helped Google win sensitive military contracts. The coders weren’t persuaded their employer should be using its technological might to help the government wage war, according to four current and former employees. After hearing the engineers’ objections, Urs Hölzle, Google’s top technical executive, said the air gap feature would be postponed, one of the people said. Another person familiar with the situation said the group was able to reduce the scope of the feature.
U.S. Treasury previews upcoming report on fintech reforms
John McCrank – Reuters
A long-awaited report from the U.S. Treasury Department on financial technology will make wide-ranging recommendations about how to modernize regulation at the federal and state levels to promote innovation in financial services, a senior U.S. official said on Thursday.
The report, which is expected to be released in the coming weeks, will be the fourth and final in a series the Treasury was tasked with completing as part of an executive order from President Donald Trump on recommendations for regulatory reform.
AI, blockchain take center stage at SIFMA fintech event
For an indication of just how far the financial services industry has evolved on technology, look no further than its trade groups.
Just one year ago, a fintech event hosted by the Securities Industry and Financial Markets Association rehashed the already stale debate over digital advice. A Betterment employee extolled the values of automation, and executives from traditional advice firms argued that technology can never replace the value of human financial advisers.
Japan’s largest crypto exchange halts new account creation; BitFlyer was hit with ‘business improvement order’ from Japanese regulator
Adam Samson – FT
BitFlyer has stopped accepting any new customers after the Japanese financial regulator ordered the country’s biggest cryptocurrencies exchange to improve its procedures.
From farm to plate, blockchain dishes up simple food tracking; Technology promises to make provenance of goods and supply hiccups easier to pinpoint
Louise Lucas – FT
Blockchain may have started life as the technology underlying cryptocurrencies such as bitcoin but it is quietly starting to revolutionise a far more prosaic sector: the world of food and drink.
Quebec Asks Crypto Miners How Much They’ll Pay for Electricity
Sandrine Rastello – Bloomberg
New rules require miners to bid for power, spell out job plans; Bids to start at 20% above power rates previously in place
Cryptocurrency miners’ appetite for cheap electricity is being put to the test by Quebec.
Ethereum Billionaire Looks to China for Next Big Crypto Winners
Natalie Wong – Bloomberg
Anthony Di Iorio says Qtum, VeChain projects attractive; Co-founder of Ethereum had invested early in Bitcoin
Anthony Di Iorio hasn’t stopped looking for bargains in the digital-currency world after amassing a fortune of as much as $1 billion from his early investment in Bitcoin and as a co-founder of Ethereum.
Coinbase Should Add XRP, Ripple CEO Says
Jen Wieczner – Fortune
Big swings in the price of XRP, now the world’s third most valuable cryptocurrency, have largely been driven by one factor in recent months: Rumors that Coinbase, the largest U.S. Bitcoin exchange, will begin offering XRP.
While Coinbase has yet to do so, Brad Garlinghouse, CEO of Ripple, the company that created XRP, argued publicly for the first time Thursday that it should.
Japan’s Financial Watchdog Orders AML Shake-Up at 6 Crypto Exchanges
Wolfie Zhao – Coindesk
Japan’s financial watchdog has issued business improvement orders to six licensed cryptocurrency exchanges following on-site inspections conducted over recent months.
Taiwan’s Financial Regulator to Conduct Limited Oversight of Cryptocurrencies
Lubomir Tassev – Bitcoin.com
The Financial Supervisory Commission of Taiwan has indicated its intentions to maintain only a limited oversight of cryptocurrencies. The regulator said it’s going to focus mainly on the enforcement of anti-money laundering policies, while remaining open towards innovations like those coming from the crypto sector.
Financial.org Scam Closes Investors’ Accounts, Convert Balances to its Useless Coin
Anatol Antonovici – Cryptovest.com
UK-based company Financial.org turns out to be a scam, as it closed all the accounts of its clients and converted balances to its own useless cryptocurrency.
Luxury Brands Are Testing the Tech That Powers CryptoKitties
Ian Allison – Coindesk
Sure the cypherpunks love CryptoKitties, but turns out luxury fashion brands are also taking a shine to the digital fluffballs.
Or at least, they’re into the technology behind the ethereum-based decentralized application that captured the hearts and minds of crypto enthusiasts in December of last year.
In Trump’s America, the Conversation Turns Ugly and Angry, Starting at the Top
Peter Baker and Katie Rogers – NY Times
President Trump has railed against undocumented immigrants in recent days, branding many of them “murderers and thieves” who want to “infest our country.” Not long ago, he referred to them as “animals,” although he insisted he meant only those who join a violent gang.
House Narrowly Passes Bill to Reauthorize Farm Programs; Measure includes new work requirements for food-stamp recipients
Jesse Newman and Heather Haddon – WSJ
The House on Thursday narrowly passed a Republican-written bill that reauthorizes farm programs while also imposing controversial new work requirements on food-stamp recipients, acting on legislation that is important to a critical GOP constituency before the midterm elections.
U.S. Asks Japan to Halt Iran Oil Buying in Harder Stance
Tsuyoshi Inajima and Serene Cheong – Bloomberg
Halt requested during talks with Japan; no decision taken yet; That goes beyond cut demanded when sanctions were last imposed
The U.S. has asked Japan to completely halt oil imports from Iran, going beyond the reductions that were demanded when sanctions were imposed earlier this decade, according to people with knowledge of the matter.
U.S. Beating China in Trade Fallout, at Least in Equity Markets
Sofia Horta e Costa – Bloomberg
Shanghai shares poised to enter bear market after 20% plunge; Chinese stocks have never been so cheap relative to U.S.
Stock investors have little doubt who would come out worse from a trade war between the U.S. and China.
Chinese media says U.S. has ‘delusions’ as impact of trade war spreads
Ben Blanchard, David Stanway – Reuters
U.S. protectionism is self-defeating and a “symptom of paranoid delusions” that must not distract China from its path to modernization, Chinese media said on Friday as Beijing kept up with its war of words with Washington while markets wilted.
Europe Retaliates Against Trump Tariffs
Jack Ewing – NY Times
The European Union fought back on Friday against the Trump administration’s tariffs, slapping penalties on an array of American products that target the president’s political base, like bourbon, motorcycles and orange juice.
Eh Tu? Canada’s Tariff Response Targets U.S. Hankies, Boats, Jam; America’s northern neighbor prepares to retaliate against Trump’s trade sanctions by listing some perplexing imports; ‘prepared meals, of bovine’
Kris Maher – WSJ
When Michael Slaughter heard Canada may slap 10% tariffs on playing cards, including those made by his Kentucky company, he thought it might be a joke.
ASIC enhances its enforcement toolkit beyond Australia’s borders
ASIC has become one of the first signatories to the IOSCO Enhanced Multilateral Memorandum of Understanding Concerning Consultation and Cooperation and the Exchange of Information (EMMoU), an enhanced standard for cross-border enforcement cooperation.
Steven Maijoor: ESMA to target periodic auctions and SI regime; ESMA chair Steven Maijoor says watchdog is carrying out a ‘fact-finding’ exercise on periodic auctions and highlights competitive advantage for SIs.
Hayley McDowell – The Trade
Systematic internalisers (SIs) and periodic auctions will be high on the EU financial watchdog’s agenda over the coming months, as the industry approaches the six-month mark under the MiFID II regime.
Steven Maijoor addresses FESE Convention 2018 on MiFID II implementation
The Chair of the European Securities and Markets Authority (ESMA), Steven Maijoor, delivered a keynote address at the FESE Convention 2018 in Vienna on Thursday 21 June. The speech focused on MiFID II implementation – progress made and priorities for future ESMA work.
European Supervisory Authorities hold its 2018 Consumer Protection Day ESMA
The Joint Committee of the European Supervisory Authorities (ESAs) is holding today its sixth annual Consumer Protection Day. The event brings together 250 consumer representatives, finance industry representatives and regulators to address major challenges facing consumer protection in financial services across the European Union.
Statement of CFTC Chairman Giancarlo Regarding the U.S. Senate Appropriations Committee’s Support of the Agency’s FY 2019 Funding Request
CFTC Chairman J. Christopher Giancarlo issued the following statement regarding the agency’s FY 2019 funding request:
Remarks of Commissioner Brian Quintenz at the Institute of International Bankers Membership Luncheon
Thank you for that very kind introduction. I am honored to join you today at the Institute of International Bankers Membership Luncheon. Let me congratulate Sally Miller on her distinguished tenure with this organization as well as congratulate Briget Polichene on taking the reins. I look forward to continuing to work with you on important issues facing the global financial markets. Before I begin, let me quickly say that the views contained in this speech are my own and do not represent the views of the Commission.
Summer Solstice Financial Checkup
Pete Chandler – FINRA
We’re closing in on the longest day of the year. To celebrate the annual halfway mark, some people wear flowers in their hair and dance in the shadow of Stonehenge. Others run solstice marathons by the light of the midnight sun.
Podcast: CFTC Talks EP048: IMF’S Fabio Natalucci
This week on CFTC Talks, we speak International Monetary Fund Deputy Director of the Monetary and Capital Markets Department Fabio Natalucci. We discuss the findings of the IMF’s latest Global Financial Stability Report and what are the biggest risks to the global financial markets. Italy, China and global trade are some of the topics we dive into.
Investing and Trading
Tails, You Win
Morgan Housel – Collaborative Fund
Steamboat Willie put Walt Disney on the map as an animator. Business success was another story. Disney’s first studio went bankrupt. Later cartoons were monstrously expensive to produce, and financed at onerous terms. By the mid-1930s Disney had produced more than 400 cartoons – most of them short, most of them liked, and most of them losing money. Disney and his studio were nearly broke.
The Natural Gas Industry Has a Leak Problem
John Schwartz and Brad Plumer – NY Times
The American oil and gas industry is leaking more methane than the government thinks — much more, a new study says. Since methane is a powerful greenhouse gas, that is bad news for climate change.
The World Cup of Investing Needs a Level Playing Field
Doug Rivelli, Nucleus195 – TABB Forum
When the World Cup kicks off June 14, your news feeds will likely be chock full of alerts on football teams, players and data. Even if you’re not a hardcore fan of “the beautiful game,” the tournament will be hard to escape. Luckily, there is a wealth of easily accessible information to get you up to speed ahead of the first match between Russia and Saudi Arabia. It’ll be easy to dig up match stats, tournament standings and every imaginable piece of information on players from 32 countries, from Argentina’s global superstar Lionel Messi to obscure Icelandic forward Kolbeinn Sigthorsson.
Why isn’t it just as easy to do this with global investment research?
Is the Facebook factor making equity markets more volatile?; Market watchers are raising questions about the business models of social media companies
Matthew Vincent – FT
Facebook can be accused of many things. Allowing the personal data of 50m users to be harvested. Facilitating the dissemination of fake news. Enabling Russia to influence the outcome of the US presidential election. Letting Josh “like” Zoe’s posts while, uh, like totally ignoring her on Messenger?.?.?.?WTF is that about? (Apparently, this is called “orbiting” and is 2018’s answer to “ghosting” — ask a young person.) And now it seems another charge may be added to the list: making equity markets more volatile.
Do this one thing that wealthy investors do to avoid losing money
Pam Krueger – MarketWatch
This has been one of the longest running bull markets in the history of the stock market. But the last six months have been a roller-coaster ride, including a dramatic one-day drop in the Dow Jones Industrial Index of over 1,100 points in February immediately followed by a strong rebound. That kind of volatility can rattle your nerves. Reacting out of fear in the moment, however, often results in making irrational money-losing mistakes.
Goldman Sachs, Morgan Stanley Stress Over Capital Returns; Two banks narrowly pass Federal Reserve stress tests
Aaron Back – WSJ
Goldman Sachs and Morgan Stanley MS -0.20% barely passed the Federal Reserve’s annual stress tests, raising doubts about their ability to grow dividends and buybacks over the next year.
Psychology and self-analysis help make better fund managers; Being aware of one’s character, behaviour and emotions can improve investment decisions
Attracta Mooney – FT
Colin McLean likes to analyse. For more than three decades, he has examined the pros and cons of different stocks. The fund manager now analyses himself.
‘Banking protocol’ helps police to catch fraudsters; Almost 200 arrested and £25m of scams prevented under initiative
Martin Arnold – FT
When an octogenarian customer of Bank of Scotland last month asked to withdraw £5,000 at her local branch in Leven, north of Edinburgh, the cashier thought the amount was unusual and asked her to speak to the branch manager
Facebook Should Be Dropped by Sustainable Funds, Nordea Says
Frances Schwartzkopff – Bloomberg
Baslik says tech giant was unresponsive to queries on scandal; Fund manager says walking the talk can be financially painful
Facebook Inc. should be excluded from the holdings of money managers serious about ethical investing, says the head of sustainable funds at the biggest Nordic bank.
Deutsche Bank Breaks Up Its Global Corporate-Strategy Group; Global Head of Corporate Strategy Ali Almakky is leaving that role; investment-bank executive Rashid Zuberi separately to leave
Jenny Strasburg – WSJ
Deutsche Bank AG’s global corporate-strategy team is being dismantled and the executive who runs it, Ali Almakky, is leaving that role, according to people familiar with the matter.
Hedge Funds Quietly Doing Pretty Well
Mary Childs – Barron’s
Hedge funds have now marked a third straight quarter of launches outnumbering liquidations.
Credit Suisse prevails in lawsuit seeking $300 million for brokers: U.S. judge
Jonathan Stempel – Reuters
A federal judge on Thursday dismissed a lawsuit accusing Credit Suisse Group AG of withholding up to $300 million of compensation from U.S.-based brokers when it closed their private banking unit in 2015.
Saudi regulator expects $40 billion foreign fund inflows after MSCI
Marwa Rashad – Reuters
MSCI’s move to add Saudi Arabia to its benchmark emerging markets index could help attract $40 billion from foreign funds and boost the appeal of oil giant Saudi Aramco’s proposed initial public offering, a Saudi official said on Thursday.
Hedge funds take aim at Europe’s debt collectors; Companies that buy consumer loans from banks are now in the crosshairs of short sellers
Chloe Cornish and Robert Smith – FT
Hedge funds are stepping up bets against European debt collectors, arguing that opaque balance sheets are masking headwinds for companies that chase down consumers’ unpaid loans and were until recently a favourite of investors.
Forced Stock Sales Haunt China as UBS Sees $68 Billion at Risk
Liquidation of pledged shares concerns regulators, investors; The Shanghai Composite is getting close to a bear market
Three years after a wave of forced selling by margin traders fueled a collapse in China’s stock market, a new breed of leveraged shareholders are threatening to trigger another downward spiral.
City lobby urges agreement on post-Brexit financial contracts; Failure to honour long-term deals would be disruptive, ICMA says
Philip Stafford – FT
Existing cross-border contracts should be honoured in the UK’s EU withdrawal agreement, or the financial sectors of each side will face a chaotic “cliff edge”, an influential City association has argued.
UK creates new ‘settled status’ for EU citizens after Brexit;Up to 3.8m people are expected to apply for status, costing £65, created by Sajid Javid
Robert Wright – FT
EU citizens who have lived in the UK for at least five years will be eligible for a new “settled status” after Brexit, the UK government said on Thursday.
Hammond and Carney close ranks over financial services post-Brexit; Chancellor and Bank of England move towards common position on mutual recognition
Delphine Strauss and Patrick Jenkins – FT
Philip Hammond promised on Thursday to fight the City of London’s corner in Brussels, saying the EU had made no credible proposals for post-Brexit regulation of financial services, and doubling down on the UK’s demand for a deal that would allow for divergence of rules while maintaining market access.