Exchanges Are Moving to Curb Private Trades
Nathaniel Popper, The New York Times
The chief executives of the three largest stock exchanges are joining forces for the first time to push regulators to rein in the increasing amount of trading that is moving off public exchanges and onto platforms like so-called dark pools.
http://jlne.ws/YIet46 ** As this week’s guest editor of the John Lothian Newsletter, Gary Katz, President and CEO of the International Securities Exchange, commented on the above story: “The US listed options industry has from the start precluded dark pools from trading the fungible products now available on eleven exchanges (soon to be twelve). This has delivered benefits to retail and institutional customers in the form of transparency, liquidity, customer service and continuous innovation.” Costs of derivatives clearing stack up for buy-side
Mike Kentz, Reuters
Banks are in early-stage discussions about levying higher fees for providing clearing services to US investors due to begin centrally clearing derivatives in June.
http://jlne.ws/ZBvhN2 VIX Gets Clobbered as Earnings Season Begins
Wall Street Sector Selector
Many stock analysts have expressed their expectations that the first quarter corporate earnings reports could have some really bad news. With Alcoa (NYSEARCA:AA) set to kick off earnings reporting season at the closing bell, VIX, ETF, NYSEARCA:VXX, NYSEARCA:TVIX, NYSEARCA:VXZ, NYSEARCA:XVZ, NYSEARCA:XIVone would have thought that there would have been a significant degree of stock market volatility, in the wake of the analysts’ forecasts.
http://jlne.ws/ZBtF5S At Least One Market Is Looking for an Earnings Season Selloff
Brendan Conway, Barron’s
The stock market is acting as though earnings season will be a non-event. You don’t get the same signal from some of the market’s most explosive derivatives bets, however.
http://jlne.ws/ZBtZ4H CME Group plans to launch RINs contracts
CME Group Inc plans to launch a suite of contracts to trade renewable identification numbers (RINs) in May, a company spokesman said on Monday. Ethanol RINs and biodiesel RINs will be among the contracts launched by the U.S. exchange operator, the spokesman said.
http://jlne.ws/10KdSNo Chasing the hedge-fund lie
David Weidner, MarketWatch
If you’re the sort of investor who chases hedge funds, marking your calendar for the next disclosure of holdings from David Einhorn or John Paulson, you can quit reading.
Almost nothing that follows is going to get through to you.
http://jlne.ws/10KaZvW Binary Options Giant Goes Pro: Mass Market OTC Trading
Press Release (PR Newswire)
The world leading binary options trading company anyoption announced the launch of a new dynamic trading instrument. Branded “Binary 0-100”, this trading tool allows great flexibility by quoting guaranteed price and lot size in bid-offer mode. This is similar in essence to OTC binaries traded on the Chicago Board Options Exchange (CBOE), however different by offering much shorter term positions, unlimited zero commissions, much wider underlying assets, 24/7 trading and no entry barrier for private investors worldwide.
http://jlne.ws/ZBxbgC Watchdog subpoenas swaps association over benchmark
Douwe Miedema, Reuters
The top derivatives regulator is probing a widely used benchmark for swaps, the trade body overseeing the rate said, dealing a further blow to the market after the sprawling Libor probe.
http://jlne.ws/ZBrCi6 The Options Industry Council Congratulates the Quinnipiac Global Asset Management Education Forum on a Successful Third Year
Press Release (MarketWired)
The Options Industry Council (OIC) today congratulated everyone involved in this year’s Quinnipiac Global Asset Management Education (G.A.M.E.) Forum for producing a very successful program. Having just completed its third year, the G.A.M.E. Forum brought together more than 1,000 students from 118 colleges and universities representing 33 countries, 44 states, Puerto Rico and the District of Columbia to explore the important issues facing investment professionals today.
ExchangesNew “CBOE Options Hub” Designed For Active Market Participants
Press Release (CBOE)
The Chicago Board Options Exchange (CBOE) today launched its new “CBOE Options Hub” (www.cboeoptionshub.com) — a comprehensive platform designed to be the “hub” of CBOE’s industry-leading social media program and the definitive online source for up-to-the-minute news and views from the options community.
http://jlne.ws/10Kbeae CBOE 40th Anniversary Kick-Off
Today, we’re excited to kick off a month-long celebration of CBOE’s 40th anniversary. In the weeks ahead, we’ll be using our social media platforms to reminisce about our history, share stories and photos, and salute CBOE’s “40 years of innovation.”
http://jlne.ws/ZBuADj CBOE Memories: Ed Tilly Looks Back
Ed Tilly, CBOE
It’s easy for me to pinpoint the luckiest day of my professional life. As I approached graduation day in the Spring of 1987, I spotted a posting in the campus recruitment office from a trading firm looking for newly-minted graduates to work as clerks on the CBOE trading floor.
http://jlne.ws/ZBuQSS Singapore Exchange delays start of derivatives market trading
Singapore Exchange has delayed the start of trading on its derivatives market due to technical problems, the bourse said on Tuesday.
RegulationSEC Gets New Chairman as Senate Approves Ex-Prosecutor White
Dave Michaels, Bloomberg
The U.S. Senate confirmed Mary Jo White to lead the Securities and Exchange Commission, putting the former federal prosecutor in charge of an agency that has failed to satisfy critics with its response to the financial crisis.
TechnologyNASDAQ OMX Enhances UltraFeed
Press Release (NASDAQ)
The NASDAQ OMX Group, Inc. (Nasdaq:NDAQ) today announced it has enhanced UltraFeedSM to include U.S. equity market depth data from NASDAQ, NYSE Euronext, Direct Edge and BATS exchanges. Included in UltraFeed’s equity depth data is NASDAQ TotalView, a product that displays The NASDAQ Stock Market’s full order book. TotalView features Net Order Imbalance information for NASDAQ’s opening and closing crosses as well as for the IPO and halt crosses, insight that can help reveal new trading opportunities.
StrategyDee-fense! Protect Your Portfolio with Options
Steven M. Sears, Barron’s
Buying puts on the iShares Russell 2000 Index could prove profitable if earnings season deflates the market.