| May 12, 2023 | "Irreverent, but never irrelevant" | | |  | John Lothian
Publisher
John Lothian News | |
|
| | | | First Read | | |
| | 2023 Newsletter Subscriptions: | |
Hits & Takes
John Lothian & JLN Staff
My nephew Andrew Lothian, who edits the daily JLN podcasts and is a professional musician, has come out with a new album featuring a tribute song to his late grandmother titled "Dear Marjorie." You can hear it HERE on Instagram. Andrew's stage name is Wallace Tallman; Wallace is his middle name and mother's maiden name, and Tallman because like the rest of the Lothian family he is "TALL." It is a beautiful, tearjerker of a song, sung with a couple of friends providing the harmony that won a songwriting contest. He wrote it from the heart and you can tell. The artwork with the song is a picture of my family's Wisconsin home my niece Sarah drew. She is studying art at the University of Wisconsin at Milwaukee.
My apologies in case the link to the Gary Gensler facial expressions video did not work for you yesterday. This LINK should work.
The Financial Times editorial board has an editorial titled "The lurking danger of a Trump return." That danger is not just television networks making bad decisions on programming and who to invite for studio audiences.
Also in the Financial Times, there is a story titled "US risks falling behind Europe without crypto rules, warns SEC commissioner." Evidently Hester Peirce is not paying attention to the SEC's enforcement of securities laws against crypto markets, meaning there is a regulatory regime for crypto assets. There may be some turf wars, but that is as it has always been, especially during times of innovation.
CFTC Commissioner Caroline Pham is in Germany and met with Eurex CEO Michael Peters at the Frankfurt Stock Exchange "for a learning tour on European capital markets and their end-to-end value chain."
CME Group Chairman and CEO Terry Duffy visited the Belfast office of the CME Group "where he had the opportunity to visit with the team and celebrate his Irish roots."
The ISDA AGM ended yesterday. It was a very successful trip to Chicago for ISDA. The next AGM will be in Tokyo in April of 2024, ISDA announced.
I attended a Pathway to Adventure Council of the Boy Scouts of America fundraiser for the metals industry in Chicago last night at the Hyatt, right next door to the ISDA conference. The metals industry fundraiser had more people in attendance than before the pandemic and raised more money too. Of course, my wife and I helped with the fundraising and won a picture from the movie "Field of Dreams" as well as tickets to a minor league baseball team game in Chicago.
Have a great day and stay safe and treat people the same way you want to be treated: with respect, equality and justice.~JJL
++++
We need a new approach to bank regulation; Waiting until there is a crisis and then deploying ad hoc measures is not good enough
Mervyn King - Financial Times
Fifteen years ago, the collapse of the western banking system led to the adoption of thousands of pages of complex regulations. Yet here we are in the middle of another crisis of confidence in banks. Silicon Valley Bank and Credit Suisse had idiosyncratic problems. In the latter case, weak regulation and procrastination by the Swiss authorities exacerbated the problem. In the former, contagion affected other small banks.
/jlne.ws/3LYXGGv
****** Which works better, foresight or hindsight? Generals are always fighting the last battle, not the next battle. Same with regulators and regulations.~JJL
++++
Yellen Says 'We Have to Default' on Something If Congress Fails; Treasury chief says the focus now is on talks with Congress; Yellen refrains from pledging to maintain debt servicing
Christopher Condon and Annmarie Hordern - Bloomberg
Treasury Secretary Janet Yellen said that the federal government will have to renege on some payments if Congress doesn't raise the debt limit, though no plan on how the department would proceed has yet been presented to President Joe Biden.
/jlne.ws/42PcSNb
****** I say you default on Congressional pay and retirement benefits. Let that sink in for a while.~JJL
++++
Thursday's Top Three
Our top story Thursday was Ken Griffin's Hand-Picked Math Prodigy Runs Market-Making Empire, from Bloomberg, about Citadel Securities CEO Peng Zhao. Second was Gary Gensler ISDA AGM Speech Facial Expressions, a video compilation made by John Lothian, on Vimeo. Third was Don't show off, don't lecture: how to negotiate with someone more powerful, from the Financial Times.
++++
MarketsWiki Stats
27,317 pages; 244,775 edits
MarketsWiki Statistics
++++
|
|  | | | |
 | |
| Lead Stories | Fake Billionaire Hedge Fund Manager Ran Ponzi Scheme, US Alleges
Bob Van Voris - Bloomberg
A former Chicago commodities trader was arrested and charged with fraud for lying to clients about everything from a non-existent collection of 122 luxury cars to phony returns that exceeded 200%. Phillip Galles, 57, was arrested Thursday and charged with a single count of wire fraud for allegedly stealing more than $2 million from victims since 2019, telling them he was investing their money in commodity futures, according to a statement from New Jersey US Attorney Philip Sellinger.
/jlne.ws/44T2wxG
The Debt Ceiling Dispute Raises the Risks for 'Risk-Free' U.S. Bonds; Short-term costs for insuring U.S. bonds are skyrocketing, and the long-term effects of repeated flirtations with debt default are already a burden, our columnist says.
Jeff Sommer -The New York Times
It's come to this. Because of the debt ceiling crisis, a corner of the financial markets sees the U.S. government as a riskier borrower over the next month or so than Bulgaria, Croatia, Greece, Mexico, the Philippines and a host of other countries that have never been remotely considered linchpins for the modern global financial system.
/jlne.ws/3BpuW4I
What Banking Crisis? Executives Bet On Parisian Renaissance; But it will take more than Macron to build a true continental alternative to the City.
Lionel Laurent - Bloomberg
The skyline of Paris this week looked entirely different to March, when billows of smoke from pension-reform protests filled the air and King Charles III was forced to cancel a planned visit. As the French capital played host to a JPMorgan Chase & Co. event at the Pompidou Center on Wednesday, attendees could instead gaze upon cranes delivering new construction projects, the city preparing for next year's Olympics, and new bank headquarters growing on the continent after Brexit - including one for JPMorgan itself.
/jlne.ws/42MsEZh
Carbon Capture Is Hard. This Plant Shows Why; A Canadian plant holds lessons as EPA proposes new rules for U.S. utilities
Eric Niiler - The Wall Street Journal
The Biden administration's pursuit of a carbon-free electricity grid leans in part on a technology with a history of unfulfilled promises. Carbon capture is the technology many U.S. coal and gas-fired power plants are planning to deploy to meet proposed new limits on greenhouse gas emissions announced by the Environmental Protection Agency this past week.
/jlne.ws/3LWrxiN
The City needs to embrace risk; Proposals to overhaul listings rules are step in the right direction but much more work needs to be done
Peter Harrison - Financial Times
It seems the City of London has developed a new passion - commentating on its own demise. The challenges the UK faces are significant and important. The long-term wealth creation capacity of the country is at stake. But the arguments over those challenges have been well rehearsed to the point of becoming cliched. The Financial Conduct Authority should be applauded for joining the movement for change with proposals for a regulatory overhaul last week. Reforming the listings regime and simplifying related party transactions will make London an easier place to do business.
/jlne.ws/3VUSBnf
US risks falling behind Europe without crypto rules, warns SEC commissioner; Hester Peirce says America needs regulatory regime for digit assets
Scott Chipolina - Financial Times
The US risks falling behind the EU and UK without rules for governing crypto asset markets, the Securities and Exchange Commission's Hester Peirce has warned. Speaking at the Financial Times' crypto and digital assets summit, the US stock market regulator's senior Republican member said frameworks set out by Brussels and London could be a blueprint for Washington lawmakers.
/jlne.ws/3ppltru
Drop in Binance's Crypto Dominance Boosts Rival Exchanges Huobi and OKX
Sidhartha Shukla and Suvashree Ghosh - Bloomberg
Crypto exchanges Huobi and OKX benefited after rival Binance curbed a zero-fee promotion and shed market share in the spot trading of digital assets, according to data from research company Kaiko.
/jlne.ws/41xliYH
Coinbase's SEC Complaint Draws Allies Depicting U.S. Regulator as Crypto Bully
Jesse Hamilton - CoinDesk
Crypto insiders are tying themselves to Coinbase (COIN) as the company seeks to blow up the U.S. Securities and Exchange Commission's (SEC) "come in and register" crusade aimed at the digital assets sector. In a series of "amicus" briefs filed this week, several crypto groups are joining the U.S.-based exchange as they collectively insist the SEC is deliberately wrecking the young industry with an insistence that there's nothing distinct or special about crypto that warrants different treatment under securities laws. The U.S. Court of Appeals for the Third Circuit granted the various groups' petition to join the case on Thursday.
/jlne.ws/3O4nSCo
PacWest plunges 29pc as US banking crisis rages on
Simon Foy - The Telegraph
Shares in PacWest plunged by more than a quarter on Thursday after warning that customers were continuing to pull deposits from the embattled US regional lender. The California-based bank said that deposits fell by nearly a tenth last week after it confirmed it was exploring a potential sale amid turmoil in the US banking industry.
/jlne.ws/42vHvaH
JPMorgan CEO Jamie Dimon wants US regulators to consider a ban on the short selling of bank stocks
Matthew Fox - Business Insider
JPMorgan CEO Jamie Dimon believes US regulators should consider a ban on the short-selling of bank stocks. In an interview with Bloomberg on Thursday, Dimon said the SEC has the ability to investigate potential collusion amid short-sellers that may be incentivized to spread false information, and that they should do that.
/jlne.ws/42RrtIe
UBS prioritises Credit Suisse investment bank integration and cost cuts; Decision on Swiss domestic unit expected within months
Owen Walker and Stephen Morris - Financial Times
UBS has prioritised integrating Credit Suisse's investment bank and accelerating cost-cutting, while a decision on the future of its Swiss domestic business is expected within months, according to people involved in the planning.
/jlne.ws/3O4dGKb
CFTC Orders HSBC Bank USA, N.A. to Pay a $45 Million Penalty for Manipulative and Deceptive Trading in Connection with Swaps Related to Bond Issuances, Spoofing, and Supervision and Mobile Device Recordkeeping Failures
CFTC
he Commodity Futures Trading Commission today issued an order simultaneously filing and settling charges against HSBC Bank USA, N.A. (HSBC), a provisionally registered swap dealer. The order charges HSBC with manipulative and deceptive trading related to swaps with bond issuers, spoofing, and supervision and mobile device recordkeeping failures at various times during approximately an eight-year period.
/jlne.ws/3puLOV7
CFTC Orders HSBC to Pay a $30 Million Penalty for Recordkeeping and Supervision Failures for Widespread Use of Unapproved Communication Methods
CFTC
The Commodity Futures Trading Commission today issued an order simultaneously filing and settling charges against HSBC Bank USA, N.A., a provisionally registered swap dealer, HSBC Securities (USA) Inc., a futures commission merchant, and HSBC Bank plc, a provisionally registered swap dealer (collectively HSBC Affiliates). The order charges HSBC Affiliates with failing to maintain, preserve, or produce records that were required to be kept under CFTC recordkeeping requirements, and failing to diligently supervise matters related to their businesses as CFTC registrants.
/jlne.ws/44P5un3
Royal Philips to Pay $62 Million to Settle China Bribery Probe; Amsterdam-based company used special price discounts for distributors and manipulated Chinese procurement processes by influencing state-run hospital officials, regulators said
Dylan Tokar - The Wall Street Journal
Royal Philips, a Dutch medical supply company, has agreed to pay $62 million to resolve claims by regulators that it violated a U.S. antibribery law by improperly manipulating Chinese procurement processes and influencing public officials at Chinese state-run hospitals.
/jlne.ws/3Mle2ul
Do Kwon's Attorneys Propose $437K Bail, Deny Falsified Travel Documents Charges in Montenegro
Sandali Handagama - CoinDesk
Attorneys for Terraform Labs founder Do Kwon have proposed he be let off on supervised bail as he faces charges in Montenegro for attempting to travel with falsified documents. Montenegrin authorities arrested Kwon and fellow Terra executive Han Chang-joon in March, and they were charged with document forgery by local prosecutors. The defendants denied committing a crime, and presented their defense at a court hearing held on Thursday in the country's capital Podgorica.
/jlne.ws/44LzAaO
Robinhood's Crypto Revenue Down 30% Year-Over-Year in Q1
Jamie Crawley - CoinDesk
Online trading platform Robinhood (HOOD) reported cryptocurrency trading revenue of $38 million for Q1 2023, a decline of around 30% compared to $54 million for the year-earlier period, according to the company's earnings results. On a quarterly basis, however, crypto revenue declined just 1%. The $38 million crypto trading revenue figure in Q1 compares to the $441 million in trading revenue across all of HOOD's businesses, a rise of 47.5% year-over year.
/jlne.ws/3nSACRM
Big Banks Face Billions in Extra FDIC Fees After SVB Failure; FDIC to replenish fund after uninsured depositors made whole; Banks with more than $50 billion in assets to pay 95% of fees
Katanga Johnson - Bloomberg
The largest banks face billions of dollars in extra fees to replenish the US government's bedrock deposit insurance fund after it was tapped to backstop uninsured depositors at Silicon Valley Bank and Signature Bank. The so-called special assessment that the Federal Deposit Insurance Corp. laid out on Thursday stems from the regulator's extraordinary decision in March to insure all deposits at the two failed lenders.
/jlne.ws/41tswgb
Alleged FX Fraudster Is 'Man-Child' Not a Criminal, Lawyers Say; Lawyers refute allegations of trading fraud, money laundering; He allegedly stole over £50 million from unwitting investors
Katharine Gemmell - Bloomberg
A London finance boss who was accused of defrauding investors of more than £50 million ($63 million) through an alleged foreign-exchange Ponzi scheme has acted like an "entitled man-child" but isn't a criminal, according to his lawyers. Anthony Constantinou, who ran a number of corporate entities that made up the Capital World Markets brand, is on trial at Southwark Crown Court accused of fraudulent trading and money laundering between 2013 and 2015.
/jlne.ws/3Miqfiz
CoinDesk Turns 10 - 2020: The Rise of the Meme Economy
Jeff Wilser - CoinDesk
Chris Torres liked to doodle. He was good at it. Maybe he could use that skill for charity? In 2011, when the Tōhoku earthquake ravaged Japan, the Red Cross needed donations. So Torres, then 25, went on a livestream and created real-time sketches; he donated tips to the Red Cross. The chatroom was small and this wasn't lucrative; over a week he raised $100. And on the final day, Torres asked the chatroom what they wanted him to draw.
/jlne.ws/3Bn4okR
Cathie Wood-Linked ETF Firm Is Shut Down by Canada Regulator; Toronto-based firm owes funds millions and can't pay; Funds have been under trading ban after auditor quit
Paula Sambo - Bloomberg
Ontario's securities watchdog suspended the registration of Emerge Canada Inc., an investment firm known for selling Toronto-listed versions of Cathie Wood's popular exchange-traded funds. The Ontario Securities Commission said the firm has failed to comply with its capital requirements since at least September and ordered it to wind down, or find another company to take over its activities.
/jlne.ws/3I3JHxT
Tales from the Crypto Winter
Christopher Beam - Bloomberg
One day in early 2021, my old friend George called. I always enjoyed our catch-ups. We'd usually talk about dating, movies and his screenwriting career. But this time he steered the conversation toward a new topic: Bitcoin. George, whose surname I'm omitting to protect his privacy, seemed genuinely eager for me to learn about the cryptocurrency. He sent me podcasts featuring blockchain "experts" and chart-heavy newsletters about "on-chain analytics."
/jlne.ws/44R3VF4
Latest Trilogue: SI and dark trading restrictions left to the wayside and a regional ban on PFOF retabled; European Commission has also been tasked with drafting an additional tape proposal aimed at bridging the gap between opposing views put forward by the European Parliament and Council, The TRADE understands.
Annabel Smith - The Trade
The latest European Trilogue session took place on Monday as part of the ongoing Mifir Review in the Bloc. Among the key topics discussed were payment for order flow (PFOF) and the implementation of a consolidated tape (CT).
/jlne.ws/44W5AJC
|
| | | |
|
| |
| Ukraine Invasion | | News about the invasion of Ukraine by Russia and its military, economic, political and humanitarian impact | IRS Working With Ukraine to Track Russian Crypto Sanctions Evaders; US donating licenses for investigative tool, hosting trainings; Aim is to improve information-sharing between US, Ukraine
Allyson Versprille - Bloomberg
The IRS criminal investigation division is ramping up collaboration with counterparts overseas in pursuit of sanctions evaders. The agency said it is working with blockchain analytics firm Chainalysis and with Ukrainian investigators to track Russian individuals who might be using cryptocurrency to conceal their assets in the aftermath of Russia's invasion of Ukraine.
/jlne.ws/44Rps0h
How an Aging Armada and Mystery Traders Keep Russian Oil Afloat
Alaric Nightingale, Julian Lee and Sharon Cho - Bloomberg
It was 6:48 a.m. on Feb. 21. and two oil tankers were bobbing around in international waters about 40 miles east of Ceuta, a Spanish exclave at the northern tip of Morocco. The wind, which topped speeds of 33 miles per hour (53 km/h) just a few days earlier, had dropped enough for the Amber 6 and the Catalina 7 - vintage vessels that combined would stretch the length of five soccer pitches - to come together for a ship-to-ship transfer of Russian oil.
/jlne.ws/41ALqSd
Ukraine is fast running out of time - and Putin must know it
Sir Kim Darroch - The Telegraph
As the 450th day of the war in Ukraine approaches, the Russian offensive is failing. President Zelensky is understandably sowing doubts in Russian minds about timing, but the Ukrainian counteroffensive is coming soon.
/jlne.ws/3VZSSFF
U.S. attorney general OKs transfer of forfeited funds from Russia oligarch for use in Ukraine
Reuters
U.S. Attorney General Merrick Garland has authorized the first transfer of forfeited Russian assets for use in Ukraine, he said on Wednesday. The Justice Department last year charged Russian oligarch Konstantin Malofeyev with violating sanctions imposed on Russia after its invasion of Ukraine, saying he provided financing for Russians promoting separatism in Crimea.
/jlne.ws/44TAbY4
Russia's central bank has $8 billion frozen in Switzerland, which is still deciding what to do with the funds
Phil Rosen - Business Insider
Russia's central bank has $8.3 billion worth of assets in Switzerland that have been immobilized, according to the Swiss government. The announcement followed new disclosure obligations that accompanied the latest sanctions package from the European Union.
/jlne.ws/3pBoAgb
Arms-to-Russia accusation sends South Africa rand to record low; US ambassador claims weapons were placed on a ship in Cape Town owned by a Russian fleet company
Joseph Cotterill - Financial Times
The South African rand fell to a record low against the US dollar on Friday after the US accused President Cyril Ramaphosa's government of covertly supplying arms to Russia, imperilling trade ties with South Africa's second-largest trading partner.
/jlne.ws/3MiVUBy
EU Proposes Formal Halt of Piped Russia Oil Flows To Germany, Poland; Decision would entrench challenges for east German refinery; Germany, Poland had already stopped receiving oil via Druzhba
Alberto Nardelli - Bloomberg
/jlne.ws/44XtggH
|
| | | |
|
| |
| Exchanges, OTC & Clearing | | Top news from exchanges, clearing, settlement and trade execution facilities | ASX Chief Customer And Operating Officer Announces Intention To Leave
ASX
Following four years as a valued member of the Executive team, ASX Chief Customer and Operating Officer, Val Mathews will depart the Group in the coming months after announcing her intention to resign. ASX CEO and Managing Director, Helen Lofthouse, said: "Val and I have been speaking for several weeks and as part of these discussions, Val felt it was the right time to let me know of her intention to resign as she considers her longer term plans to focus on family and other commitments."
/jlne.ws/351gPmZ
Samuel Fosso awarded the Deutsche Borse Photography Foundation Prize 2023
Deutsche Borse
Samuel Fosso is the recipient of the Deutsche Borse Photography Foundation Prize 2023. The artist was announced as the winner of the prestigious £30,000 2023 prize at The Photographers' Gallery (TPG), London on Thursday 11 May 2023. The significant award, presented in partnership with the Deutsche Borse Photography Foundation, recognizes artists and their projects who have made a significant contribution to international contemporary photography over the past 12 months.
/jlne.ws/3MiTJwL
LSEG announces strategic collaboration with the National University of Singapore Business School
LSEG
LSEG (London Stock Exchange Group), today announced a strategic collaboration with the National University of Singapore (NUS) Business School through its Workspace platform. The collaboration aims to strengthen the education and research capabilities of NUS Business School by leveraging Workspace's comprehensive financial data and analytics. Students and academic staff will have access to real-time financial market data, reports, economic indicators, and accounting data of publicly traded companies. They will also be able to examine historical data dating back to the 1960s, economic and ratio indicators, industry statistics, equity data, interest rates, and exchange rates.
/jlne.ws/3I2qMU8
SGX Group reports market statistics for April 2023
SGX Group
Singapore Exchange (SGX Group) today released its market statistics for April 2023. Uncertainties over the path for global interest rates slowed activity in a shortened trading month, alongside mixed sentiments on the impact of China's reopening on domestic consumption. Derivatives traded volume was down 15% year-on-year (y-o-y) in April at 17.7 million contracts, as strong gains in commodities activity were countered by reduced trading in equities and foreign exchange (FX).
/jlne.ws/3MlUR3R
DISCIPLINARY DECISION - OFFER OF SETTLEMENT - LAURENTIAN BANK SECURITIES INC.
TMX
On or about March 8, 2021, Bourse de Montréal Inc. (the "Bourse") filed a complaint against Laurentian Bank Securities Inc. ("LBS"), a formerly approved participant of the Bourse. This complaint stated the following: During the period from January 1, 2018 to April 2, 2019, LBS contravened article 3011 B) (article 3.100(b) from January 1, 2019) - "Surveillance and Compliance" as LBS failed to establish, maintain and ensure compliance with risk management and supervisory controls, policies and procedures that are reasonably designed to manage the regulatory risks associated with marketplace access for its options trading activities
/jlne.ws/3rmxCeo
NYSE Bonds - Addition to the List of Traded Bonds
NYSE
The following bonds will be added at the opening of trading on Monday, May 15, 2023. These bonds have been added as "NYSE traded bonds" pursuant to an SEC exemption that allows the NYSE to trade certain non-convertible debt of NYSE listed companies and their wholly owned subsidiaries, without the issuer having listed those securities on the NYSE.
/jlne.ws/3ufM0GZ
Notice of Website Maintenance; Temporary suspension of some services
JPX
Due to system maintenance, these services will be inaccessible during the period listed below. We apologize for any inconvenience and appreciate your patience. Services Date (JST) ・Listed Company Search ・Corporate Governance Information Search Saturday, May. 20, 9:00 - Saturday, May. 20, 12:00 (JST) (note) ･This period may be extended or shortened as necessary.
/jlne.ws/44Rxq9I
|
| | | |
|
| |
| Fintech | | A roundup of today's market tech news and a look at tomorrow's disruptors | European regulators pushed to scrap smart contract laws that would kill DeFi
Inbar Preiss - Wired
Europe's blockchain industry is making a final push to prevent laws that would crush smart contracts that underpin decentralised protocols. The Data Act, in negotiations set to conclude at the end of June, aims to regulate data shared between smart devices within Internet-of-Things networks. The decentralised finance sector worries that the legal texts - with an article dedicated to regulation of smart contracts - do not clearly enough indicate the scope.
/jlne.ws/42ucowl
The deflating credit bubble could hurt more than just the banks; Low rates have created distortions across the financial world - life insurance companies are now facing issues
Gillian Tett - Financial Times
Another week, another wave of worry about American regional banks. Thankfully, the level of panic has dropped somewhat since the Federal Deposit Insurance Corporation appears to be backstopping the system - by precedent, if not by law. But the problem now is one of attrition: weakling banks are losing deposits, watching funding costs rise while their loans to commercial real estate and risky companies turn sour.
/jlne.ws/42K1piB
Fireside Friday with... TS Imagine's Spencer Lee; The TRADE speaks to Spencer Lee, chief markets officer and head of fixed income at TS Imagine, about developments and key challenges in the EMS space, the different approaches when developing a system for fixed income, and how to improve platform efficiency.
Wesley Bray - The Trade
How have EMS platforms evolved over the last few years?
There's been a quiet revolution in EMS technology over the past few years. The fixed income market has started to wake up to the utility of using an EMS, as participants start to take advantage of the depth of functionality, access to liquidity and efficiency of trading workflows.
/jlne.ws/3BnMkXP
|
| | | |
|
| |
| Cybersecurity | | Top stories for cybersecurity | Hackers Contacted Cybersecurity Firm CEO's Son, Wife in Extortion Attempt; Criminals accessed contract management system at Dragos; New employee's personal email was entry point, blog says
William Turton - Bloomberg
Hackers stole contracts from cybersecurity firm Dragos Inc. as part of an extortion attempt that included contacting the chief executive officer's wife and 5-year-old son, according to a company blog post, documents provided by the suspected hackers and interviews. The firm didn't pay the hackers, who gained access to internal documents after breaching the personal email account of a newly hired Dragos sales employee, CEO Robert M. Lee told Bloomberg News in an interview.
/jlne.ws/3LWRG11
SEC Proposes New Cybersecurity Risk Management Rule for Various Market Entities
Dechert LLP - JDSupra
At an open meeting on March 15, 2023, the U.S. Securities and Exchange Commission voted three to two1 to propose a new rule, form and amendments (together, "Proposed Rule") and published an accompanying release ("Release")2 regarding recordkeeping requirements relating to cybersecurity for broker-dealers, clearing agencies, major security-based swap participants ("MSBSPs"), the Municipal Securities Rulemaking Board, national securities associations, national securities exchanges, security-based swap data repositories ("SBSDRs"), security-based swap dealers ("SBSDs," or collectively with MSBSPs, "SBS Entities") and transfer agents (together, Market Entities). The Proposed Rule, which would amend the Securities Exchange Act of 1934 to add a new Rule 10 and Form SCIR, is intended to address Market Entity cybersecurity risks.
/jlne.ws/3MlU96H
|
| | | |
|
| |
| Cryptocurrencies | | Top stories for cryptocurrencies | McHenry to U.S. SEC: Which Crypto Firms Have Tried to Register?
Jesse Hamilton - CoinDesk
The U.S. Securities and Exchange Commission (SEC) has so far disregarded congressional requests for information on its interactions with crypto platforms seeking registration as exchanges, according to Republican lawmakers in the House of Representatives, who threatened a hearing if they're ignored any longer.
/jlne.ws/3I33my9
BlockFi Customers Can Be Repaid $300M Held in Custodial Accounts, Judge Says
Jack Schickler - CoinDesk
BlockFi custodial wallet users can be returned nearly $300 million, as a New Jersey judge ruled on Thursday May 11 that assets sitting in the wallets belong to clients rather than the estate of the bankrupt crypto lender. Bankruptcy Judge Michael Kaplan ruled against repaying a further $375 million in funds that clients tried to withdraw from BlockFi's interest-bearing accounts, known as BIA, after the company froze funds last year, as ripples from the collapse of FTX spread through the crypto ecosystem.
/jlne.ws/41vjmzR
Former FTX Exec Cooperating in Lawsuit Against Celebrity Promoters
Andrew Asmakov - Decrypt
Celebs caught in the crosshairs of promoting FTX have been dealt another blow. Daniel Friedberg, the former Chief Regulatory Officer at FTX and the Chief Compliance Officer of FTX US, moved to provide evidence that promotional activity for FTX had indeed originated in Florida.
/jlne.ws/3BhgewS
Coinbase Says it 'Screwed Up' Pepecoin Coverage in Its Newsletter
Stephen Alpher - CoinDesk
Coinbase (COIN) chief legal officer, Paul Grewal apologized for a company newsletter on the memecoin frenzy suggesting that the Pepe the Frog meme, on which red-hot PEPE token is based, has been used in racist ways on the internet.
/jlne.ws/41zWTS6
Terraform's Kwon Pleads Not Guilty to Fake Passport Charges; TerraUSD's implosion caused an estimated $40 billion in losses; Kwon, associate were found with Belgian, Costa Rican documents
Misha Savic and Jasmina Kuzmanovic - Bloomberg
Crypto entrepreneur Do Kwon pleaded not guilty in a court in Montenegro, where he was detained on an international warrant and charged by local authorities with using forged travel documents. The Terraform Labs co-founder and its former chief financial officer, Han Chang-joon, who also pleaded not guilty, were caught at the airport in Montenegro's capital Podgorica in March when they tried to board a private jet to fly to Dubai after months as fugitives.
/jlne.ws/3O27AK8
BlockFi Customers Can Be Repaid $300M Held in Custodial Accounts, Judge Says
Jack Schickler - CoinDesk
BlockFi custodial wallet users can be returned nearly $300 million, as a New Jersey judge ruled on Thursday May 11 that assets sitting in the wallets belong to clients rather than the estate of the bankrupt crypto lender. Bankruptcy Judge Michael Kaplan ruled against repaying a further $375 million in funds that clients tried to withdraw from BlockFi's interest-bearing accounts, known as BIA, after the company froze funds last year, as ripples from the collapse of FTX spread through the crypto ecosystem.
/jlne.ws/3BqeGjX
Bitcoin network buckles under weight of BRC-20's runaway success
Forkast
Coinbase, the exchange giant that recently sued the SEC for more clarity on crypto regulation - a call that has echoed throughout the entire digital asset industry for longer than anyone cares to remember - may find that clarity abroad, as U.A.E. looks to entrench its position in the Web3 digital ecosystem. Earlier this year, Abu Dhabi launched a US$2 billion fund to support U.A.E.'s Digital Economy Strategy as part of its diversification efforts into non-oil sectors.
/jlne.ws/3W0UX3V
Binance's Crypto Market Share Likely Fell After Zero-Fee Trading Halt; Bitcoin liquidity on Binance has also declined recently; Fees are one of few barriers for trading churn, says Acheson
Vildana Hajric - Bloomberg
Binance appears to have lost market share amid changes to its trading-fee structure and a wider regulatory crackdown on the cryptocurrency universe by US officials. The world's largest digital trading platform now commands about 50% of spot market share, the lowest since April 2022, according to Dessislava Ianeva, senior research analyst at Kaiko.
/jlne.ws/3I6g27s
10T Co-Founder Wants to Build New $200 Million Fund; The firm 10T won't make new investments, but a fund with many of the same people is already in deal talks.
Hannah Miller - Bloomberg
There are still investors who want to put money into cryptocurrency startups, despite the recent wave of scandals and setbacks that have shaken the industry. A team of crypto investors is seeking $200 million to back digital-asset startups in a new firm called TenSquared Capital, according to two people familiar with the matter. The venture, called 10SQ for short, is being launched by the co-founder and some employees of crypto-focused investment firm 10T Holdings.
/jlne.ws/42vsHsz
Fund managers still lured to crypto 'because of the returns'
Joanna Wright - Wired
Wall Street and the City have cautiously dipped their toes into digital assets and blockchain technology. But successive scandals, extreme volatility, plummeting investments and regulatory uncertainty have blunted any desire to throw themselves right in feet first. But speakers at the Financial Times' Crypto and Digital Assets Summit conference in London this week say finance juggernauts have not given up on crypto and digital assets.
/jlne.ws/3Mlm9HC
A wallet likely linked to Do Kwon moves $7m while crypto king in jail
Isabel Hunter - Wired
One year on from the collapse of Do Kwon's crypto empire, the former "crypto king" faced his first bout with justice in a Montenegro court today. But despite Kwon being behind bars, a crypto wallet, linked to Kwon according to Seoul-based academic Professor Jaewoo Cho, has made combined transactions of more than $7 million in the last few days - the first activity since before he was detained on March 23.
/jlne.ws/3pANxID
US risks falling behind Europe without crypto rules, warns SEC commissioner; Hester Peirce says America needs regulatory regime for digit assets
Scott Chipolina - Financial Times
The US risks falling behind the EU and UK without rules for governing crypto asset markets, the Securities and Exchange Commission's Hester Peirce has warned. Speaking at the Financial Times' crypto and digital assets summit, the US stock market regulator's senior Republican member said frameworks set out by Brussels and London could be a blueprint for Washington lawmakers.
/jlne.ws/3ppltru
|
| | | |
|
| |
| Politics | | An overview of politics as it relates to the financial markets | E.P.A. Proposes First Limits on Climate Pollution From Existing Power Plants
Coral Davenport - The New York Times
The Biden administration on Thursday announced the first regulations to limit greenhouse pollution from existing power plants, capping an unparalleled string of climate policies that, taken together, could substantially reduce the nation's contribution to global warming. The proposals are designed to effectively eliminate carbon dioxide emissions from the nation's electricity sector by 2040.
/jlne.ws/3O3wEAl
Fixing the debt ceiling with the 14th amendment could cause a recession. A top economist says it might be necessary.
Ben Werschkul - Yahoo! Finance
President Biden is gradually warming to the idea of unilaterally canceling the debt ceiling by invoking the 14th amendment. An economist often cited by the White House said it might be worth the gamble. "My sense is, I take the risk," said Mark Zandi, chief economist at Moody's Analytics. In the event bipartisan talks fail to solve the crisis, using the Civil War-era law would definitely create turmoil, possibly plunge the US into a recession and surely start a legal fight, Zandi told Yahoo Finance in an interview Wednesday.
/jlne.ws/3VUoPPy
F.D.A. Eases Ban on Blood Donations From Gay and Bisexual Men
Christina Jewett - The New York Times
The Food and Drug Administration announced on Thursday that it had formally ended the agency's wide-ranging prohibition on blood donations from gay and bisexual men, a longstanding policy that had been denounced as discriminatory. Instead, the F.D.A. is finalizing guidance that includes a questionnaire for all donors that is aimed at learning about their recent sexual activity.
/jlne.ws/3I5UW9j
Biden's Debt Ceiling Meeting With McCarthy Pushed to Next Week; Postponement signals staff may be making progress on deal; Aides have been talking since leaders met on Tuesday
Justin Sink, Erik Wasson and Billy House - Bloomberg
President Joe Biden and House Speaker Kevin McCarthy postponed their meeting on the debt ceiling set for Friday as their aides continue negotiations toward avoiding a catastrophic US default. The delay signals that staff-level talks on energy permitting reform and government spending have yielded progress, according to people familiar with the talks. The speaker said Biden planned to meet with him and other congressional leaders next week, though neither side specified a date.
/jlne.ws/42Qs3pk
George Santos Resolves Brazil Fraud Case a Day After US Charges; Santos was accused of defrauding Rio de Janeiro clerk of $1300; Congressman pleaded not guilty to US fraud charges Wednesday
Andrew Rosati - Bloomberg
George Santos has one less fraud case to worry about. A day after he pleaded not guilty to a 13-count federal indictment on Long Island, New York, the Republican congressman resolved claims that he used a stolen checkbook to buy $1,300 worth of shoes and clothing in Rio de Janeiro state in 2008. "What was the beginning of a lawsuit was closed today," Santos's Brazilian lawyer, Jonymar Vasconelos, said Thursday.
/jlne.ws/3MjPlyq
|
| | | |
|
| |
| Regulation & Enforcement | | Stories about regulation and the law. | CSA announces exemptions from filing requirements during switch to System of Electronic Data Analysis and Retrieval+ (SEDAR+)
Canadian Securities Administrators
Members of the Canadian Securities Administrators (CSA) are announcing exemptions from certain filing requirements to address the brief period when the System of Electronic Document Analysis and Retrieval (SEDAR) will be switched to a new centralized system, SEDAR+. Each CSA member will be issuing a substantially similar blanket order, which will be in effect from June 9, 2023 until SEDAR+ becomes available (expected to be June 13, 2023), that will essentially provide an extension to file or deliver documents that are required to be transmitted through SEDAR+ during that time.
/jlne.ws/3pCuNZ3
China Regulator Steps Up Probes of Bond Underwriting Practices; Firms including CCB, Ex-Im Bank are being reviewed by NAFMII; Officials are looking to address long-standing market issues
Wei Zhou - Bloomberg
China's credit markets are closing out the week trying to digest the implications of new probes that a key regulator announced in recent days into bond underwriting at several major banks. The National Association of Financial Market Institutional Investors, an entity governed by China's central bank that oversees interbank bond sales, said in statement late Thursday that it had launched a so-called self-discipline probe into China Construction Bank Corp., for alleged violations in underwriting services.
/jlne.ws/3VUjWpD
Statement of Commissioner Christy Goldsmith Romero In Support of Enforcement Action Against Bank of Nova Scotia For Widespread Use of Whatsapp and Text Messaging to Evade Regulatory Oversight
CFTC
I support this enforcement action against the Bank of Nova Scotia ("BNS"), headquartered in Canada, as another victory for holding banks accountable for their pervasive use of unauthorized communication methods, like Whatsapp and private texts, to avoid regulatory oversight. After previously bringing enforcement actions that levied over $700 million in penalties against 11 Wall Street banks, the Commission continues to send a zero tolerance message to banks who seek to evade regulatory oversight.
/jlne.ws/44T0LR6
Statement of Commissioner Kristin N. Johnson Regarding CFTC Order Against The Bank of Nova Scotia and Scotia Capital USA Inc. for Recordkeeping and Supervision Failures Relating to Offline Communications
CFTC
Today, the Commodity Futures Trading Commission (CFTC or Commission) issued an order settling charges against The Bank of Nova Scotia and Scotia Capital USA Inc. (together, "BNS") for failing to maintain, preserve, and produce records in compliance with CFTC recordkeeping requirements with respect to certain offline communications (often carried out through chat or social media messaging platforms).
/jlne.ws/3O3OOlK
CFTC Charges Commodity Pool Operator Tyche Asset Management LLC and its Controlling Principal in a $6 Million Commodity Pool Ponzi Scheme
CFTC
The Commodity Futures Trading Commission today announced it filed a complaint in the U.S. District Court for the Northern District of Illinois against Chicago-based Tyche Asset Management, LLC, a registered commodity pool operator, Phillip Galles, its principal and registered associated person, as well as eight other Tyche entities Galles controlled.
/jlne.ws/42lThV7
CFTC Orders The Bank of Nova Scotia to Pay a $15 Million Penalty for Recordkeeping and Supervision Failures for Widespread Use of Unapproved Communication Methods
CFTC
The Commodity Futures Trading Commission today issued an order simultaneously filing and settling charges against The Bank of Nova Scotia, a provisionally registered swap dealer and Scotia Capital USA Inc., a futures commission merchant, (collectively BNS Affiliates). The order charges BNS Affiliates with failing to maintain, preserve, or produce records that were required to be kept under CFTC recordkeeping requirements, and failing to diligently supervise matters related to their businesses as CFTC registrants.
/jlne.ws/3o33BCm
Conference On Emerging Trends In Asset Management
SEC
The Securities and Exchange Commission's Division of Investment Management will host an inaugural Conference on Emerging Trends in Asset Management. The conference will bring together a variety of asset management industry participants and academics. The event will be open to the public via live webcast on SEC.gov and archived on the Division of Investment Management webpage for later viewing.
/jlne.ws/42SXgIN
Dutch Medical Supplier Philips to Pay More Than $62 Million to Settle FCPA Charges
SEC
The Securities and Exchange Commission today announced that Amsterdam-based Koninklijke Philips N.V. will pay more than $62 million to resolve charges that it violated the Foreign Corrupt Practices Act (FCPA) with respect to conduct related to its sales of medical diagnostic equipment in China.
/jlne.ws/3I0f0de
SEC Charges HSBC and Scotia Capital with Widespread Recordkeeping Failures
SEC
The Securities and Exchange Commission today charged HSBC Securities (USA) Inc. and Scotia Capital (USA) Inc. for widespread and longstanding failures by both firms and their employees to maintain and preserve electronic communications. To settle the charges, HSBC and Scotia acknowledged that their conduct violated recordkeeping provisions of the federal securities laws and agreed to pay penalties of $15 million and $7.5 million, respectively.
/jlne.ws/42uNMnb
Keynote Address at the 21st Symposium on Building the Financial System of the 21st Century: An Agenda for Europe and the United States
Commissioner Mark T. Uyeda - SEC
Thank you, John [Gulliver],[1] for the warm introduction. I'm honored to provide remarks at the 21st Annual Symposium on Building the Financial System of the 21st Century for Europe and the United States. I would like to recognize the efforts of Hal Scott, the founder of the Program on International Financial Systems, for his foresight and vision in establishing these dialogues with key market participants from around the world. One of Hal Scott's other initiatives, the Committee on Capital Markets Regulation, has also contributed valuable reports for developing efficient capital markets and promoting policy reforms to enhance opportunities for investors. I have personally found a lot of value in the high quality and data-driven analyses over many years from the Program and the Committee, including recent comments on the U.S. Securities and Exchange Commission's market data structure and open-end fund liquidity proposals, and its work on regulatory reform.
/jlne.ws/3W4zdV2
SEC Charges Operators of Dozens of Websites with Offering Fraud Involving Crypto Assets
SEC
The Securities and Exchange Commission today announced charges against GA Investors and John Does 1-4 alleging that the defendants conducted fraudulent offerings of securities, including crypto asset mining pools, through dozens of websites. Among other emergency relief, the SEC seeks an order requiring that defendants' fraudulent websites be taken down immediately.
/jlne.ws/3M2k8hY
SEC Announces Entry of Final Judgment Against President of Maplewood, New Jersey-Based Investment Adviser for Operating a Cherry-Picking Scheme
SEC
The Securities and Exchange Commission announced that on May 9, 2023, the U.S. District Court for the District of New Jersey entered a final judgment against Carl S. Schwartz, the president, co-owner and managing member of RRBB Asset Management, LLC.
/jlne.ws/3O7lryP
SEC Charges Connecticut Man with Defrauding Investors of $4.8 Million and Obtains Emergency Relief
SEC
The SEC today announced that it had obtained ex parte emergency court orders from the U.S. District Court in the Eastern District of Wisconsin, after it filed a complaint under seal charging Charles Thomas Lawrence, Jr., a resident of Connecticut and Long Island, New York, with misappropriating at least $4.8 million from 11 investors in Wisconsin, North Carolina, New York, and elsewhere. On May 4, 2023, the court entered an ex parte temporary restraining order against Lawrence, prohibiting him from violating the antifraud provisions of Securities Act and Exchange Act, and from soliciting, accepting, or depositing any monies obtained from actual or prospective investors pending the final outcome of the action, as well as other ancillary relief. The court also froze Lawrence's assets, and the assets of five named relief defendants.
/jlne.ws/3ptw1pv
ECB too lax in supervising Europe's largest banks, watchdog warns; European Court of Auditors seeks assurances that credit risk is being 'properly managed'
Martin Arnold - Financial Times
/jlne.ws/3LXp3AP
|
| | | |
|
| |
| Investing & Trading | | Today's top stories from equities, indices and FICC (fixed income, currencies and commodities) | ISDA Annual General Meeting
Eric Litvack - International Swaps and Derivatives Association
It's great to be back in Chicago again, a city that is truly steeped in financial history. It's here that the Chicago Board of Trade introduced the first standardized futures contracts in 1865, a big step on the path to the development of modern derivatives markets. It's also here that the Chicago Butter and Egg Board, a forerunner of CME Group, was founded in 1898, reinforcing Chicago as a focal point for the trading and risk management of commodities
/jlne.ws/42lSMud
Fulfilling Dr. Martin Luther King's Vision - Dream Exchange: A Free And Fair Stock Market For All
Mondovisione
Dream Exchange, the first majority black-owned stock exchange in America's history, is gearing up for launch amidst a rapid decline in public companies, with smaller and mid-sized IPOs being almost non-existent. Research in the USA published in 2019 and 2021 which investigated the profiles of founding teams receiving venture capital financing from the most active funds in the U.S., found that VC-backed start-ups were still disproportionately men (89.3%), white (71.6%), based in Silicon Valley (35.3%) and Ivy League-educated (13.7%), with very little change in data in two years.
/jlne.ws/42tkNQJ
Too Small to Succeed Is the Problem Facing Regional Banks; Recent turmoil centers on institutions-a notch or two down from the Wall Street giants-that are crucial funding sources for local businesses.
Paige Smith, Max Reyes and Jonnelle Marte - Bloomberg
In the wake of the 2008 crisis, the financial giants rescued from the brink were dubbed too big to fail, and policymakers and regulators focused on rules to make sure those banks ran more safely. Meanwhile, just out of view, a different problem was taking shape: What if some banks turned out to be too small to thrive? "Small" is a relative term.
/jlne.ws/3BhcdbE
AngloGold Ashanti to switch primary listing to New York; South African miner says move will allow it to access deeper pool of investors
Harry Dempsey and William Langley - Financial Times
AngloGold Ashanti has announced plans to switch its primary stock market listing to New York, a sign that Wall Street rather than London has become the preferred destination for the world's biggest gold miners.
/jlne.ws/42Ma0ke
'Stranded assets': investors reckon with obsolete offices;
Older commercial real estate out of major UK cities is struggling to attract demand
Joshua Oliver - Financial Times
The Atrium is a black glass office tower glowering over the town centre of Uxbridge, 16 miles west of London. It symbolises a problem facing commercial property investors across the UK.
/jlne.ws/44RE1RA
The search for a better investment recipe; With the equity-bonds portfolio struggling to deliver value, savers may need fresh ingredients
Philip Coggan - Financial Times
Anybody who has tried to bake a cake will know there are lots of things that can go wrong, from burnt tops to soggy bottoms. And that can even happen when bakers are trying to follow a recipe.
/jlne.ws/3Bj2AZV
How to add wings to your tracker portfolio; Certain market segments can be neglected by mainstream indices
Dave Baxter - Financial Times
Despite many seeing them as the ideal hunting ground for stockpickers, falling markets have done little to dent UK appetite for passive funds in the past year. Trackers took in nearly £10bn in net retail sales in 2022, meaning they now represent some 21 per cent of the industry assets monitored by the Investment Association.
/jlne.ws/3I0A1Ez
|
| | | |
|
| |
| Environmental, Social and Corporate Governance | | Stories about environmental, social and governance investing | Bank Failures May Slow Board Diversity Push as Members Retrench; Boards see need to better acclimate single-purpose directors; Republican complaints of boards being 'woke' add to tensions
Jeff Green - Bloomberg
In the space of seven weeks, SVB Financial Group, Signature Bank and First Republic Bank, all member companies of the S&P 500 Banks Index, ceased to exist. The net effect on bank board gender diversity was negligible, but the ramifications may slow future gains. The failure of the regional banks and criticisms about their oversight have put a spotlight on the ongoing debate over board balance, said Friso van der Oord, senior vice president of content at the National Association of Corporate Directors, which provides education and support for board members.
/jlne.ws/3LZ2r2R
Germany sets stage for G7 clash with push to endorse gas; Berlin at odds with UK and France over support for public investment in fossil fuel despite climate impact
Attracta Mooney, Guy Chazan, Kana Inagaki and Henry Foy - Financial Times
Germany is pushing for G7 leaders to endorse public investment in the gas sector at their summit next week, setting up a clash with countries that argue such support is incompatible with global climate goals. Tensions have flared in pre-summit discussions as nations including the UK and France reject Germany's demands to include support for public investments in gas in the meeting's final document, said several people briefed on the talks.
/jlne.ws/3pquj8m
New Surveys of Asian Americans Show Persistent Racism and Hardship
Amy Yee - Bloomberg
New surveys of Asian Americans are revealing the anti-Asian racism that surged during the Covid pandemic is not going away, and advocacy groups are using the data to push for social and policy changes. The research from groups including the Asian American Foundation, Columbia University's School of Social Work, the Association of Asian American Investment Managers and Pew Research signals a shift for Asian Americans, the fastest-growing racial group in the US.
/jlne.ws/3pyhTeS
|
| | | |
|
| |
| Banks, Brokers & Managed Funds | | The latest from banks, brokers, hedge funds and managed futures | Wall Street Loads Up on Doom Hedges as Countdown to X-Day Begins; Open interest for VIX calls reaches highest level in 5 years; Parallels with 2011 spur hedging for extreme selloff
Denitsa Tsekova and Sujata Rao-Coverley - Bloomberg
In Washington debt-ceiling brinkmanship is threatening to push the US into default. And on Wall Street, traders are gaming out what could be a rare Black Swan event. In the options market, hedges against a volatility breakout are seeing the most demand in five years. The cost to protect against a market selloff of around 10%, or one-standard deviation, is the highest in a year.
/jlne.ws/3pxanAQ
The deflating credit bubble could hurt more than just the banks; Low rates have created distortions across the financial world - life insurance companies are now facing issues
Gillian Tett - Financial Times
Another week, another wave of worry about American regional banks. Thankfully, the level of panic has dropped somewhat since the Federal Deposit Insurance Corporation appears to be backstopping the system - by precedent, if not by law. But the problem now is one of attrition: weakling banks are losing deposits, watching funding costs rise while their loans to commercial real estate and risky companies turn sour.
/jlne.ws/42K1piB
NJ Banker's Murder Case Ends With Guilty Verdict for Two Men; Maurice Spagnoletti's death was tied to his work at Doral Bank; Banker was gunned down in San Juan while driving home in 2011
Jim Wyss - Bloomberg
A federal jury found two men guilty of murdering New Jersey banker Maurice Spagnoletti in Puerto Rico more than a decade ago. Rolando Rivera Solis and Yadier Serrano Canales were convicted Thursday of gunning down Spagnoletti, an executive of the now defunct Doral Bank, as he drove home from work in San Juan. A third defendant, Luis Carmona Bernacet, was acquitted on the murder charge.
/jlne.ws/3I4KXkF
Jamie Dimon Says US Needs to 'Finish' the Bank Crisis; JPMorgan's chief executive officer predicts more rules are coming to an industry already struggling.
Jennifer Surane and Francine Lacqua - Bloomberg
Jamie Dimon said it's time for regulators to help put an end to turmoil in the banking industry, but he's already predicting policymakers will take away the wrong lessons from this year's upheaval. "I think it's going to get worse for banks - more regulations, more rules and more requirements,'' JPMorgan Chase & Co.'s chief executive officer said in a Bloomberg Television interview from Paris Thursday.
/jlne.ws/456HDPV
Blackstone Can Be the Bank; Also BlackRock and utilities, short-sale bans, the writers' strike as securities fraud and oil-well plugging liability.
Matt Levine - Bloomberg
Why are there regional banks? We have talked a lot recently about the central fragility of the business model: Banks take short-term deposits to fund long-term loans, and when interest rates go up their depositors might leave (or demand higher interest) as their loans lose value, making them fail.
/jlne.ws/3LXrmUC
Too Small to Succeed Is the Problem Facing Regional Banks; Recent turmoil centers on institutions-a notch or two down from the Wall Street giants-that are crucial funding sources for local businesses.
Paige Smith, Max Reyes and Jonnelle Marte - Bloomberg
In the wake of the 2008 crisis, the financial giants rescued from the brink were dubbed too big to fail, and policymakers and regulators focused on rules to make sure those banks ran more safely. Meanwhile, just out of view, a different problem was taking shape: What if some banks turned out to be too small to thrive? "Small" is a relative term.
/jlne.ws/3BhcdbE
A $158 Billion Canada Pension Manager Hits Pause on China Deals; British Columbia fund cuts exposure by 15% over two years; Relations between the two countries are deteriorating
Laura Dhillon Kane - Bloomberg
British Columbia's public pension manager has paused direct investments in China, the latest institutional investor to rethink its exposure to the world's second-largest economy due to geopolitical risks. A senior executive from British Columbia Investment Management Corp. revealed the policy during testimony this week to a Canadian parliamentary committee.
/jlne.ws/42LOnR5
Concern about TD's anti-money laundering controls? What we know about the new twist in the failed First Horizon deal
Barbara Shecter - Financial Post
The Wall Street Journal and Bloomberg News reported May 9 the U.S. regulators' concerns about the way Toronto-Dominion Bank handles suspicious transactions was at the root of their reluctance to approve the Canadian bank's US$13.4 billion takeover of First Horizon, adding a layer of mystery to TD's decision to bail earlier this month on what would have been its biggest acquisition.
/jlne.ws/3VUjRCp
SVB Financial fights FDIC over seized tax refunds
Dietrich Knauth - Reuters
SVB Financial, the bankrupt former parent of failed Silicon Valley Bank, said on Thursday the U.S. Federal Deposit Insurance Corporation must release $10 million in tax refund checks owed to the company, escalating a dispute over the agency's efforts to seize assets in the wake of the bank's collapse.
/jlne.ws/3MlSkGT
MSCI drops two Adani Group stocks from India benchmark; Move expected to trigger investor sales and hamper fundraising plans
Hudson Lockett - Financial Times
/jlne.ws/42N8yhB
|
| | | |
|
| |
| Work & Management | | Stories impacting work and more about management ideas, practices and trends. | Silvergate Lays Off 230 Workers as Crypto-Friendly Bank Continues Wind Down
Andre Beganski - Decrypt
Silvergate Capital said on Thursday it would significantly reduce its headcount, leaving the firm with a skeleton crew to manage the liquidation of its crypto-friendly bank. The cuts involve pink-slipping 230 employees tomorrow, followed by additional layoffs later in the year. In a filing with the Securities and Exchange Commission (SEC), the company said it would have just 80 employees by the end of the week.
/jlne.ws/3LXpgnI
Back-to-Office Battles Underscore a Change in Workplace Authority
Stefan Stern - The New York Times
A C.E.O. steps out of the corner office, stares into the abyss of a sparsely occupied floor, and only the abyss stares back. Disconcerting questions arise: What kind of a place is this, and what kind of a leader am I if so few people want to show up? What has happened to my authority? The hierarchy effect, already weakening before the pandemic, has been undermined even further by the living (and successful) experiment of hybrid work.
/jlne.ws/3LZ3TSR
|
| | | |
|
| |
| Wellness Exchange | | An Exchange of Health and Wellness Information | As Emergency Ends, a Look at Covid's U.S. Death Toll
Lazaro Gamio, Eleanor Lutz and Albert Sun - The New York Times
Since the coronavirus pandemic began more than three years ago, the United States has suffered wave after wave of loss. The expiration of the federal declaration of the Covid-19 public health emergency on Thursday signals a new outlook on the disease, and it presents a moment to look back at the toll the virus has taken.
/jlne.ws/3VYTDyC
The Pandemic Threat That Hasn't Gone Away
Zeynep Tufekci - The New York Times
In December 2014, two monkeys in outdoor cages at the Tulane National Primate Research Center, about 40 miles north of New Orleans, became ill with Burkholderia pseudomallei, a deadly bacteria in the federal government's highest risk category, reserved for pathogens like smallpox, anthrax and Ebola. This is the category for which the Centers for Disease Control and Prevention sees "significant potential for mass casualties or severe effects."
/jlne.ws/42ymGeQ
|
| | | |
|
| |
| Regions | | Stories of local interest from the Americas, EMEA and Asia-Pacific regions | China May Cancel More US Corn in Shift to Cheaper Brazil Cargoes
Hallie Gu - Bloomberg
Top corn importer China could cancel more purchases of the grain from the US because the country can buy more cheaply from Brazil and as some local producers of hog feed replace corn with wheat in their rations.
/jlne.ws/3o30dYa
Turkey Official Nixes Idea That Iraqi Oil Is About to Flow Again
Firat Kozok and Khalid Al Ansary - Bloomberg
Turkey probably won't accept a request from Baghdad for oil exports through the port of Ceyhan to resume on Saturday, according to a Turkish official familiar with the matter.
/jlne.ws/42yjJLi
Zimbabwe Backs New Digital Money With 140 Kilograms of Gold; Gold-backed digital money part of efforts to support currency; IMF has warned the policy may lead to depletion of reserves
Ray Ndlovu - Bloomberg
Zimbabwe used nearly 140 kilograms of gold reserves to back the first sale of its digital money. The central bank received 135 applications valued at 14 billion Zimbabwe dollar ($12 million) to purchase the gold-backed digital tokens, it said in an emailed statement on Friday. It plans a second auction on May 18.
/jlne.ws/41w1UuX
|
| | | |
|
| |
| Miscellaneous | | Stories that don't quite fit under the other sections | Google and Amazon's Social Shopping Push Threatens Reign of Instagram Influencers
Alex Barinka - Bloomberg
This week, Google and Amazon made it clear that even in the age of AI-generated reviews - created by machines scouring the internet for information - the advice doled out by influencers about what to buy and where to travel still matters. On Wednesday, sandwiched between a string of updated AI-based tools, Alphabet Inc.'s Google announced a new feature for search, called Perspectives.
/jlne.ws/3nRTaS8
|
| | | |
|
| |
Disclaimer: All John Lothian Newsletters, JohnLothianNews.com, MarketsWiki.com and MarketsReformWiki.com are products of John Lothian News, a division of John J. Lothian & Company, Inc. The opinions expressed in all John J. Lothian & Company, Inc. publications are strictly those of their respective editors. They are intended solely for informative purposes and are not to be construed, under any circumstances, by implication or otherwise, as an offer to sell or a solicitation to buy or trade in any commodities or securities herein named. Information is obtained from sources believed to be reliable, but is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. Security futures are not suitable for all customers. Futures and options trading involve risk. Past results are no indication of future performance. Nothing on any John J. Lothian & Company site should be considered an endorsement by any sponsor of any website or newsletter content.
© 2023 John J. Lothian & Company, Inc. All Rights Reserved. |
|
|
