John Lothian Newsletter: Market Meltdown Curbs Approved by American Options Exchanges; Canada's TMX names Lou Eccleston as CEO: ICE Europe Takes Over Liffe Commodities After 18 Years

Sep 30, 2014

First Read

One Last Appeal for ALTSO
Ray Mckenzie
To all my friends in the Chicago futures world, next week on Wednesday, October 8th we will be holding the third annual benefit for A Leg to Stand On at City Winery. We are proud to say we have sold over 200 tickets so far and have the generous support of corporate sponsors CME Group, CBOE, ICE, Russell Investments, ABN Amro, Drury Capital, and Jacobs Asset Management.

A Leg to Stand On does amazing work with a staff of only three people. Since inception ALTSO has helped over 12,000 children in developing countries with necessary surgery and prosthetic devices to lead more normal lives.

There will be rock and roll entertainment from Jim McNulty, former CEO of CME, John Labuszewski, Steve Staszak and Bob Zaggotta from CME and yours truly and John Maher from TMG. Dina Bair from WGN television will be our Emcee for the evening. In addition there will be great raffle prizes for massage therapy, pilates, acupuncture, dance lessons, personal training, Cubs tickets and much more.

Let’s show New York that Chicago can do better than they can! Last year at the NY ALTSO event we raised $400,000. Come on Chicago!! Ticket prices include all drinks, food and music! Here is the link to purchase tickets: jlne.ws/1otS8Rs

Thank you from the bottom of our hearts for your support!
jlne.ws/1otSAPA

**JK – A great cause, and a great show. You’ll have fun while helping out the kids.

++++

Rocktoberfest from A Leg to Stand On is close at hand
JohnLothianNews.com
A Leg To Stand On is a non-profit that provides free prosthetic limbs and corrective surgery to children in developing countries who have lost their limbs in traumatic accidents or suffer from congenital limb disabilities. ALTSO’s annual fundraising benefit, Rocktoberfest Chicago, is moving into its 3rd year after having originated 11 years ago in New York. Rocktoberfest unites leaders from the finance industry for a night of Rock & Roll music performed by industry professionals. Rocktoberfest Chicago will be held on October 8th at City Winery. Hedgefund Rocktoberfest in New York will be on October 22 at Capitale.

Watch the video »

++++

CBOT Makes Jeopardy, sort of
The Chicago Board of Trade was featured as one of the categories on the game show, Jeopardy! yesterday. It is was the last category chosen by the three contestants and featured questions that were, let’s say, very loosely tied to the CBOT. Questions in the form of an answer were the following:

$200 What is a futures contract?
$400 Who is George H.W. Bush? (First president to visit the Board)
$600 What is Crimea? (Grain prices spike on this conflict)
$800 What is the Tea Party? (Rick Santelli’s rant.)
$1000 What is Ceres? (Goddess statue on top of the building)

One of the bright spots were that contestants answered every CBOT question correctly.

++++

CME promotes Knottenbelt to run Europe, Asia
Luke Jeffs – Futures & Options World
CME Group has made its second major management reshuffle in two weeks as former European head William Knottenbelt has taken on a larger role running Europe and Asia less than a week after the CME’s former Asia head left that post.
jlne.ws/ZnpaNr

***** Somewhere in heaven, Bob Ray is smiling.

++++

ISE Submits Filing for New Options Exchange Called ISE Mercury
Sam Mamudi – Bloomberg
International Securities Exchange Holdings Inc. applied to create its third U.S. options exchange, to be called ISE Mercury.
jlne.ws/1ro1VOE

****** The 13th exchange has mythological roots in mercantile trade.

++++

FIA PTG Recommends Structural Improvements to Promote Accessibility and Transparency in Equity Markets
Earlier this year Securities and Exchange Commission Chairman Mary Jo White gave a major policy address in which she outlined areas where reforms to U.S. equity market structure should be considered. This position paper sets out our views on several recommendations in Chair White’s speech, including our views on specific issues such as market data, co-location, timestamps, order protection and pilot programs. These fit into a broader framework of principles: we support fair and open access, reduced regulatory incentives for excess fragmentation, less complexity, and greater use of data in market oversight and public policy.
jlne.ws/1uxp3vn

****** The futures guys want fairer access to equities? Will they follow this up with an effective communications campaign, or will they just go back to hiding in the bushes?

++++

Bill Gross and the Great Man theory of investing
James Saft – Reuters
Judging by the Bill Gross affair, the Great Man theory is alive and well among investors. This demonstrates nothing more clearly than on what slender offerings the investment industry, with all its billions spent on people, processes and strategy, actually earns its money.
jlne.ws/1CDagjY

***** Trust is a wonderful thing.

++++

Breaking: BNY Mellon shuts European derivatives clearing division
Luke Jeffs – Futures & Options World
US bank BNY Mellon is to shut its European derivatives clearing unit, citing frustration with the delay to Europe’s swap clearing mandate. The US custodian decided to shut the business last week and has spent recent days telling European clients of its decision and the plan to wind-down the unit.
jlne.ws/1otQnUl

++++

Two Upcoming Courses in Chicago and New York
Derivatives regulatory expert and frequent contributor to MarketsReformWiki Mayra Rodriguez Valladares will be teaching two upcoming courses in Chicago and New York – Life Cycle of a Financial Derivative (Oct. 20-21 Chi and Nov. 3-4 NY) and Derivatives Clearing Organization (Oct. 23-24 Chi and Nov. 5-6 NY). Each course gets you 14 hours of CPE credit.
jlne.ws/1qOOEZd

***** Think of education as “fine prevention” and the cost becomes nothing for FCMs.

++++

Matthew Scharpf, Vice President Sell Side Business Development, Eurex – Trading with a Creative MindMatthew Scharpf, Vice President Sell Side Business Development, Eurex – Trading with a Creative Mind
JohnLothianNews.com

“You’re filling your toolbox…You’re not going to need it today or tomorrow, but one day it’s good to have.”

Matthew Scharpf, vice president of sell side business development for Eurex, gives a unique look at systems in the financial industry and how we can connect new pieces together to create innovation. Using his guitar and knowledge of music, Scharpf explains how individual notes can be combined into chords and used in a variety of instances to create different songs. And even when it may seem like there are some limitations in songwriting, different tools and methods can help facilitate the creation of something new. Scharpf compares this system to the financial industry and tells his audience how this type of thinking also applies to their careers. There may be times when different parts of a system utilized with other tools can create something new and innovative. It’s just a matter of thinking outside the box.

Watch the video »

++++

MarketsWiki

MarketsWiki Page of the Day
London Metal Exchange
jlne.ws/1m8vFsL

MarketsWiki Recent Updates

People

Marisol Collazo; William H. Gross; Phupinder Gill

Companies, Organizations and Groups

Lehman Brothers; International Securities Exchange; Object Trading; London Metal Exchange; LME Clear; KCG Holdings Inc. (KCG)

Statistics

53,736,663 pages viewed, 8,047 articles, 186,187 edits
MarketsWiki Statistics

Lead Stories

Market Meltdown Curbs Approved by American Options Exchanges
Sam Mamudi – Bloomberg
U.S. equity options exchanges agreed to a set of rules in an effort to avoid market mishaps. The measures include steps designed to stop quotes and trades from taking place at extreme prices and to prevent too many trades in a short period of time
jlne.ws/1ro6KYu

Canada’s TMX names Lou Eccleston as CEO
Alastair Sharp – Reuters
TMX Group Ltd named Lou Eccleston as its new chief executive officer, the Toronto Stock Exchange operator said on Monday, after a lengthy global search to replace retiring CEO Tom Kloet.
jlne.ws/1CDa6t0

ICE Europe Takes Over Liffe Commodities After 18 Years
Morgane Lapeyre – Bloomberg
Intercontinental Exchange Inc. (ICE) eliminated the Liffe name and incorporated cocoa, robusta coffee, white sugar and feed wheat futures and options into ICE Futures Europe, owner of the Brent crude contract.
jlne.ws/1CDeGaG

****** Goodbye my old friend. We had some great times. We had the times of our liffes.

DTCC and Euroclear seal collateral pool venture
Philip Stafford – Financial Times
Two of the world’s largest securities depositories have finalised a joint venture to create a vast pool containing trillions of dollars of collateral to ease banks’ search for scarce assets to back trading.
jlne.ws/1CDbKej

Singapore emerges as regional hub for intra-Asia renminbi commerce
Jeremy Grant – Financial Times
Ever since China gave its blessing to Hong Kong as the crucible for the internationalisation of the renminbi in 2004 a race seems to have been on among financial centres to capture as much trading in the Chinese currency as possible.
jlne.ws/1CDgiBa

Osaka exchange sees closer ties with Tocom – CEO
William Mitting – Futures & Options World
The Osaka Securities Exchange is seeking closer ties with the Tokyo Commodity Exchange as the Japanese group draws up plans to expand its asset class coverage, the head of the exchange has said. Hiromi Yamaji, president and chief executive of the Osaka Securities Exchange, told FOW a deal to license the OSE’s new technology platform to Tocom from 2016 is the start of a collaboration between the exchanges.
jlne.ws/ZnpzQ3

From Africa to Ukraine, Deal Police Proliferate
Brent Kendall – WSJ
These days, many big mergers don’t just need to win antitrust approval from regulators in the U.S. and the European Union. Nations including China, Brazil and even Ukraine are part of a growing roster of countries that also want a say. More than 100 international jurisdictions now claim antitrust authority to examine deals, embracing different approaches for evaluating whether a merger might harm consumers.
ttp://jlne.ws/1CD9un3

Private Equity Trade Body Launches in Ukraine
Ayesha Javed – MoneyBeat – WSJ
The conflict in Ukraine has led to many private equity firms disassociating themselves from the region. But a group of private equity and venture capital firms are hoping to draw attention to the industry in Ukraine with the launch of the country’s first trade association for firms in the sector.
jlne.ws/1CDcM9V

Regulatory

As SEC Enforcement Cases Rise, Big Actions Are Sparse
Jean Eaglesham – WSJ
Mary Jo White will end her first full fiscal year running the Securities and Exchange Commission able to claim an increase in its annual tally of cases, the first year-over-year rise since 2011, according to people close to the agency.
jlne.ws/1CD9rI7

FSB Calls For Wider Window to Set Exchange-Rate Benchmarks
Katie Martin – WSJ
The way currency benchmarks are calculated and foreign-exchange traders behave looks set for a revamp under a new set of recommendations by global regulators.
jlne.ws/1CD9CmF

HFT’s Death by a Thousand Cuts
Dr. John Bates – Wall Street & Technology
It took a while for regulators to catch up with high-frequency traders. Unfortunately for the HFT players, the regulators found their footing in September.
jlne.ws/YD4u2N

CFTC Staff Issues Time-Limited No-Action Relief Relating to Certain CDS Clearing-Related Swaps Executed Pursuant to a CDS Settlement Price Process
jlne.ws/1xwgBOi

IOSCO Reviews Implementation Of Significant Foreign Exchange Benchmark
jlne.ws/1CDc1O7

Exchanges & Trading Facilities

OneChicago Changes Fee Structure To Reduce Transaction Friction When Opening And Closing Positions
OneChicago, LLC (OCX), an equity finance exchange, today announced beginning October 1, 2014 OneChicago will reduce execution fees by 75% from the current $20 per $1 million to $5 per $1 million dollar executed notional value for all OCX.NoDivRisk product suite which is composed of the “1D” contracts and the recently launched OCX.Weekly products.
jlne.ws/1CDcUX3

NASDAQ OMX Executive Vice President John L. Jacobs To Retire
NASDAQ OMX today announced longtime senior executive John L. Jacobs will retire after more than 30 years of leadership and service to the company. Effective January 2, 2015, Mr. Jacobs will retire from his position as Executive Vice President of Global Information Services, comprising the company’s data products and index services businesses.
jlne.ws/1CDcRdH

Zignani: opportunities in Europe beckon for LSE
Dan Barnes – Financial News
The London Stock Exchange Group expanded its post-trade operations in 2014 by launching globeSettle, a second central securities depository in addition to Monte Titoli, the Italian CSD acquired by the group in 2007.
jlne.ws/1CD9cg3

New York widens global lead for IPOs
Eric Platt in New York and Josh Noble in Hong Kong – Financial Times
The US has strengthened its position as the preferred destination for initial public offerings, and is set to rank as the top country for new equity fundraisings for the fourth straight year, following the recent blockbuster listing of Chinese e-commerce group Alibaba.
jlne.ws/1CDbFr0

CME Group Expands International Leadership
Press Release
jlne.ws/1xwiw5w

OCC AND THE U.S. OPTIONS EXCHANGES ANNOUNCE NEW RISK CONTROL STANDARDS TO STRENGTHEN INDUSTRY PROTECTIONS
Press Release
jlne.ws/1xwiv1d

ISE Holdings Files for Third Exchange License to launch ISE Mercury
Press Release
jlne.ws/1ro8Do1

Hedge Funds & Managed Futures

US regulators monitor Pimco $223bn fund
Stephen Foley in New York and Gina Chon in Washington – Financial Times
US regulators are monitoring trading and fund flows surrounding Pimco’s $223bn Total Return Bond fund and other products, in what could prove a test case in the debate over whether asset management groups contribute to systemic risk.
jlne.ws/1CDaM1r

Morningstar strips Pimco Total Return Fund of its gold rating
Reuters
Morningstar downgraded its analyst rating on the Pimco Total Return Fund to “bronze” from “gold”, citing uncertainty about outflows and the reshuffling of management responsibilities after the exit of co-founder Bill Gross.
jlne.ws/1CDaFD5

Allianz rules out micro-managing Pimco despite turmoil
Kathrin Jones – Reuters
Allianz said on Monday it remained fully committed to its Pimco unit after the shock exit of co-founder Bill Gross and had no plans to step up oversight of the world’s biggest bond investor despite months of turmoil that has hit the German insurer’s shares.
jlne.ws/1CD9Xpx

Sources Say KKR Backing First Asia Hedge Fund Even As Wine Is Off The Table
Teresa Rivas – blogs.barrons.com
KKR (KKR) has agreed to its first hedge fund partnership in Asia, a startup launched by the former regional chief of York Capital Management.
jlne.ws/1CDe7O9

Santander ‘follows the money’ with hedge fund strategy switch
Mark Cobley – Financial News
The GBP8 billion UK pension fund for the bank Santander has joined the select group of pension funds looking to profit from hedge fund fees, instead of paying them out.
jlne.ws/1CDcHTC

Revenues blow hot and cold for European HFTs
Tim Cave – Financial News
Sun Holdings was one of only a handful of high-speed trading firms to enjoy a rise in its European revenues during 2013, as the industry struggled with low volatility and tougher regulation.
jlne.ws/1CD9a7X

Is it game over for pooling client assets?
Dominic Hobson – Financial News
Regulation has a clear trajectory in favour of holding client assets in segregated accounts at the global custodian, the sub-custodian, the clearing house and the central securities depository.
jlne.ws/1CD9iEk

MOVES-Schroders appoints senior advisers to multi-asset business
Reuters
London-based asset management company Schroders Plc appointed two university professors as senior advisers for its multi-asset unit.
jlne.ws/1CD9WBV

Banks & Brokers

Exclusive: NY targets Commerzbank employees in sanctions accord – sources
Karen Freifeld – Reuters
New York’s financial regulator wants some Commerzbank AG employees to be fired as part of a settlement over allegations the German lender improperly processed transactions with Iran and other countries facing U.S. sanctions, according to people familiar with the matter.
jlne.ws/1CDaxDu

Citigroup CEO Says Bank Investors to Get Steadier, Lower Returns
Dakin Campbell – Bloomberg
Banks will probably generate more reliable profits, though not at the high levels preceding 2008’s crisis, as firms adapt to new rules and pressure to cut risk, Citigroup Inc. (C) Chief Executive Officer Michael Corbat said.
jlne.ws/1CDdQe6

SEC Investigation Sheds Light on BofA’s $4 Billion Mistake – MoneyBeat
Christina Rexrode and Michael Rapoport – MoneyBeat – WSJ
The Securities and Exchange Commission has wrapped up its investigation into Bank of America Corp.BAC -0.12%’s $4 billion capital error. On Monday, it scolded the bank for poor record-keeping and internal controls, and charged it a $7.65 million penalty.
jlne.ws/1xwcQbr

RBS set to ‘significantly outperform’ 2014 estimates
Julia Rampen – Investment Week
RBS expects to “significantly outperform” its estimates for dealing with impaired loans in 2014, according to a trading update.
jlne.ws/1vrehnt

Chase keeps top spot among Chicago banks – Finance News
Steve Daniels – Crain’s Chicago Business
Bank mergers shook up the pecking order of Chicago’s banking industry over the past year, but the top five deposit holders are unchanged from a year ago, according to newly released data.
jlne.ws/1CD9q6W

ICAP Hurt by Lower Trading Volumes
Tapan Panchal – WSJ
ICAP PLC on Tuesday warned that first-half revenue would be lower than last year amid lower trading volumes and said Finance Director Iain Torrens would leave the company.
jlne.ws/1CD9yU6

ICAP plc Trading Statement
jlne.ws/1CDcaBl

BGC Partners Updates Its Outlook for the Third Quarter of 2014
BGC Partners, Inc., a leading global brokerage company servicing the financial and real estate markets, today announced that it has updated its outlook for the quarter ending September 30, 2014.
jlne.ws/1xwiQRH

Mann at risk at JP Morgan
Helene Durand and Aimee Donnellan – Reuters
Jason Mann, a financial institutions group (FIG) syndicate official at JP Morgan in London, could be set to leave the US bank after being put at risk, according to a source close to the situation.
jlne.ws/1CD9LXh

DEGIRO TO LOWER FEES FOR OPTIONS ON EURONEXT
DEGIRO is very pleased that Euronext has lowered its fees for option transactions. Now it is the brokers’ turn to follow suit and lower their fees to the end user. DEGIRO will follow Euronext by also lowering its fees on options significantly. Depending on the volume the discount could be as much as 40%, with Dutch clients in the lowest bracket Dutch only paying as little as EUR0.50 per contract. The new fee structure will come into effect in October.
www.degiro.eu/

Clearing & Settlement

ASX hails first customer for client clearing service
Simon Osborne – The Trade
The Australian Securities Exchange (ASX) has marked the first customer on its client clearing service. The service is available for ASX’s futures and OTC clearing.
jlne.ws/1xwcYYI

Global trade reporting ‘a mess’, Sibos delegates told
Luke Clancy – Risk.net
Market participants including Commerzbank and the Depository Trust and Clearing Corporation (DTCC) told delegates at the annual Sibos conference in Boston that they remain concerned at the lack of co-ordination being applied to aggregate derivatives trade reporting data.
jlne.ws/1CDcxMf

Swap reforms force best execution rethink
Joe Rennison – Risk.net
With over-the-counter derivatives migrating to new trading platforms, some asset managers are starting to review their best execution policies. But it’s difficult to know what best execution means in a world of mandatory clearing.
jlne.ws/1xwfwpy

Custodians must return to safekeeping grass roots
Dominic Hobson – Financial News
Instead of welcoming new regulations for making custodial services compulsory, custodians are bleating about being held responsible for risks they cannot control. However, they have only themselves to blame.
jlne.ws/1CD9ljI

NASDAQ OMX Implements T+2 Standard Settlement On Its Nordic And Baltic Markets
NASDAQ OMX is going to implement two-day standard settlement (T+2) to securities admitted to trading on the NASDAQ OMX Copenhagen, Helsinki, Iceland, Stockholm, Tallinn, Riga and Vilnius exchanges and the respective First North markets.
jlne.ws/1CDd6pi

CME Clearing Europe joins LSE’s central securities depository
The Trade
CME Clearing Europe has selected the London Stock Exchange Group’s (LSEG) new central securities depository (CSD) as an additional securities collateral location for its members.
jlne.ws/1xwcW2V

McNamara on Pirrong & Clearing: Serious, Fair, But Ultimately Unpersuasive
Streetwise Professor
Stephen Lubben passed along this paper on central clearing mandates to me. It would only be a modest overstatement to say that it is primarily a rebuttal to me. At the very least, I am the representative agent of the anti-clearing mandate crowd (and a very small crowd it is!) in Steven McNamara’s critique of opposition to clearing mandates. McNamara’s arguments are fair, and respectfully presented. He criticizes my work, but in an oddly complimentary way.
jlne.ws/1xwj2jZ

CME Group – Clearing: Product Modification Summary for Clearing Firms, Bookkeeping Software Providers, ISVs
jlne.ws/1otOBCx

Indexes & Products

New emerging market real estate ETF brings exposure to China, South Africa
Ashley Lau – Reuters
A new exchange-traded fund tracking the real estate industry in emerging market countries debuted on Monday, offering investors a novel entry into a growth sector that also carries risks from markets like China in the midst of downturn.
jlne.ws/1CDa04D

Nasdaq Index Head Jacobs Announces Retirement
Max Bowie – WatersTechnology
John Jacobs, executive vice president of global information services at Nasdaq OMX and head of the exchange’s index business, has announced he will retire from his current role effective Jan. 2, 2015.
jlne.ws/1xwf1vU

Holdings of South African palladium ETFs top 1 mln oz
Reuters
Combined holdings of the two South African palladium exchange-traded funds launched in March reached more than 1 million ounces last week, accounting for more than 40 percent of global palladium ETF reserves.
jlne.ws/1CD9Ytx

Xetra/Börse Frankfurt: New iShares ETF Launched On Xetra – ETF Offers Access To French Stock Corporations
jlne.ws/1CDbOuj

TSE Has Published The Index Value Of TSE Home Price Index For July
jlne.ws/1CDcdNr

Technology

Big Data Takes Center Stage at Sibos
Greg MacSweeney – Wall Street & Technology
Banks are rolling out data analytics projects across the business, but leaders still struggle with data privacy, regulations, and finding business value.
jlne.ws/1xwiV7R

SWIFT Delivers Multi-Year Price Reduction Plan One Year Ahead Of Schedule
SWIFT announces today at Sibos that it has delivered early on its commitment to reduce its messaging prices by 30-50 percent between 2010 and 2015, a goal the company set as part of its SWIFT2015 strategy in 2010.
jlne.ws/1CDd2pF

Fitch Hires Ex-Thomson Reuters’ Mattinson to Grow Biz
Faye Kilburn – Reuters
Fitch Solutions, the data vendor arm of ratings agency Fitch, has hired Ian Mattinson as head of product delivery and execution, responsible for accelerating the growth of the vendor’s business and delivering new products to market.
jlne.ws/1xwfjTw

SunGard Wins FOW Award for Asia for Best New Product for Valdi Retail Trader
SunGard’s Valdi Retail Trader, which provides banks and brokers in Korea with a powerful online retail trading platform for global equity markets, has been named “Best New Product for Trading and Execution” in the 2014 FOW Awards for Asia.
jlne.ws/1xwiPgu

SunGard’s New Offerings Help Firms Manage Data and Control Exposure on Corporate Actions Risk
SunGard has launched two new corporate actions products to help global financial institutions manage global event data and identify and control their risk exposure. As the volume and complexity of corporate actions events continue to grow, firms struggle to manage the onslaught of data and also need to better understand their risk in order to take action on events that require immediate attention.
jlne.ws/1xwiESq

Colt Launches FX Liquidity Access Service Connecting London, New York And Tokyo Markets
Simplifies Market Participants Access To FX Liquidity Centres
jlne.ws/1CDbXht

Enforcement

Two Former Wells Fargo Employees Charged With Insider Trading in Advance of Research Reports Containing Ratings Changes
The Securities and Exchange Commission today announced insider trading charges against two former Wells Fargo employees involved in an alleged scheme to profit by buying or short selling a stock before research analyst reports were published containing a ratings change.
jlne.ws/1xwidHO

SEC Charges Bank of America With Securities Laws Violations in Connection With Regulatory Capital Overstatements
The Securities and Exchange Commission today charged Bank of America Corporation with violating internal controls and recordkeeping provisions of the federal securities laws after it assumed a large portfolio of structured notes and other financial instruments as part of its acquisition of Merrill Lynch.
jlne.ws/1xwigmX

SEC Charges Two Florida Men With Defrauding Investors in Purported Television Network
The Securities and Exchange Commission today announced charges against two Florida men for defrauding investors in a purported startup television network and production company by providing false information about its revenues and future prospects, including that former basketball star Michael Jordan planned to invest in the company.
jlne.ws/1xwijPx

CFTC Orders Fan Zhang to Pay $250,000 for Engaging in Fictitious Sales and Noncompetitive, Prearranged Trades on CME and CBOT
The U.S. Commodity Futures Trading Commission (CFTC) today issued an Order filing and simultaneously settling charges against Fan Zhang for engaging in fictitious sales and noncompetitive, prearranged trades in the Las Vegas Housing Market Futures Contract and the Cash-Settled Cheese Futures Contract, both traded on the CME, a designated contract market owned by the CME Group, and the Ethanol Futures Contract traded on the Chicago Board of Trade (CBOT), which is a designated contract market also owned by the CME Group
jlne.ws/1xwilqJ

CFTC Charges Illinois Resident Gerald J. Considine and His Companies, Novo Trading and Considine Trading, with Fraudulent Solicitation and Misappropriating More than $1.65 Million of Customer Funds
The U.S. Commodity Futures Trading Commission (CFTC) today filed a civil enforcement action in the U.S. District Court, Northern District of Illinois, charging Defendants Gerald J. Considine, a/k/a Jerry J. Considine, of Oak Park, Illinois, and his companies, Novo Trading LLC (Novo) and Considine Trading Corp. (CTC), with fraudulently soliciting more than $2.4 million from at least nine customers to open managed commodity futures or foreign exchange (forex) accounts and misappropriating more than $1.65 million of those funds.
jlne.ws/1xwimuU

CFTC Charges Florida-Based Inter-Global Currency & Precious Metals LLC and Stavros Papastavrou with Engaging in Illegal, Off-Exchange Precious Metals Transactions
The U.S. Commodity Futures Trading Commission (CFTC) today filed a civil injunctive enforcement action in the U.S. District Court for the Southern District of Florida against Defendants Inter-Global Currency & Precious Metals LLC (IGCPM) of Pompano Beach, Florida, and its owner and manager, Stavros Papastavrou, a resident of Delray Beach, Florida.
jlne.ws/1xwipqA

SEC lawsuit over Onyx insider trading can move forward -U.S. judge
Nate Raymond – Reuters
U.S. securities regulators can move forward with a lawsuit accusing two Dubai residents of making $3.7 million through insider trading in Onyx Pharmaceuticals Inc and another biotechnology company, a Manhattan federal judge ruled on Monday.
jlne.ws/1CDa8kF

Environmental & Energy

Is Alaska the new Florida? Experts predict where next for America’s ‘climate refugees’
Jennifer A. Kingson, The Observer
Alaskans, stay in Alaska. People in the midwest and the Pacific north-west, sit tight. Scientists trying to predict the consequences of climate change say that they see few havens from the storms, floods and droughts that are sure to intensify over the coming decades. But some regions in the US, they add, will fare better than others.
jlne.ws/1vnRMll

China embraces carbon pricing and UN takes a shine to plan
Valerie Volcovici, Reuters
Millions of visitors and residents could hardly miss the message projected on the side of the world famous United Nations building in New York this week: “Put a price on carbon.”
jlne.ws/1CzDtwd

***LB: Also in this story “Carbon pricing, largely rejected by the United States and struggling in Europe, is suddenly all the rage, with China leading the charge. The world’s biggest greenhouse gas emitter plans to establish a national market for carbon permit trading in 2016 and has already launched seven regional pilot markets.”

President’s Drive for Carbon Pricing Fails to Win at Home
Coral Davenport, The New York Times
President Obama stood in the chamber of the United Nations General Assembly last week and urged the world to follow his example and fight global warming.
jlne.ws/1vqhzZ2

***LB: Also in this story “But a major new declaration calling for a global price on carbon — signed by 74 countries and more than 1,000 businesses and investors — is missing a key signatory: the United States.”

Asia-Pacific

Hong Kong Is Ground Zero in China’s Tense Financial Transition
Michael J. Casey – MoneyBeat – WSJ
The tear gas-shrouded riots in Hong Kong matter to investors for one very important reason: They bring into stark relief the challenges China faces in pursuing two contradictory economic and political goals.
jlne.ws/1xwcUIs

Grand global ambitions for renminbi sow domestic risks
Josh Noble – Financial Times
Most people from outside China have never used the renminbi for much more than buying trinkets at the Great Wall or steamed buns in a Shanghai eatery. But that is changing fast.
jlne.ws/1CDb3BH

Tokyo Financial Exchange: Extension Of Three-month Euroyen Futures Discount Program
jlne.ws/1CDcfow

Frontier Markets

Emerging markets eye renminbi trading alternative to dollar
James Kynge – Financial Times
With some effort, it is possible to discern the outline of a future “renminbi zone” emerging as a rival to the “dollar zone” that has dominated the world’s financial system since the end of the second world war. Though still indistinct, the contours of this new currency contingency are nowhere clearer than among the Brics countries (Brazil, Russia, India, China and South Africa), following a decision to create a Brics bank in July.
jlne.ws/1CDb9ct

Judge Holds Argentina in Contempt of Court in Bond Payment Case
Alexandra Stevenson – Dealbook – NY Times
For more than a year, Judge Thomas P. Griesa of Federal District Court in Manhattan has warned that Argentina would suffer repercussions if it defied his orders regarding payments to bondholders.
jlne.ws/1xwieve

Qatar’s Doha Bank Acquires HSBC Bank Oman’s India Operations
Robert Tuttle – Bloomberg
Doha Bank QSC agreed to acquire HSBC Bank Oman S.A.O.G’s operations in India as the Qatari lender expands in Asia to counter diminishing margins at home.
jlne.ws/1CDg8Kj

JSE Amends Listing Requirements And Introduces Fast Track Listing Process
jlne.ws/1CDbT16

Dubai Financial Market Welcomes Delegation Of Senior Bankers From Azerbaijan
The Visit Stemmed From Azerbaijan Banking Sector’s Eagerness To Gain Knowledge On Dubai’s Successes As International Financial Hub
jlne.ws/1CDbVWK

John Lothian Newsletter

We visit more than 100 websites daily for financial news (Would YOU do that?)

“John Lothian and Company… our industry intelligence.”

Rick Lane

CEO, Trading Technologies

Past JLN Newsletters

Pin It on Pinterest

Share This Story