| February 16, 2022 | "Irreverent, but never irrelevant" | | |  | John Lothian
Publisher
John Lothian News | |
|
| | | | First Read | | |
| | 2022 Newsletter Subscriptions: | |
Hits & Takes
John Lothian & JLN Staff
Hong Kong Exchanges and Clearing Limited named Li-Chien Wong (LC) as managing director, co-head of IPO vetting. She will work with Stephanie Lau to oversee all issuer listing applications.
The Federation of Euro-Asian Stock Exchanges (FEAS) is holding a "Meet_the_Market" with the Omani Capital Market on March 9 at 15:00 Yerevan time (GMT+4) via Zoom. Representatives of the Muscat Stock Exchange and Muscat Clearing & Depository will present information about their market and country and unique aspects of investing there.
Exchange Analytics is offering a new ESG course to help companies strengthen their ESG programs. The course sets out the foundational elements of ESG and how that translates to an organization's day-to-day activities. It is a 25- to 30-minute course and for a limited time it is free. For more information, click HERE.
The FINRA February Monthly Disciplinary Actions report is out and it is filled with amazing stories and some familiar names. It is always worth a read to see how firms, supervisors and individuals are misbehaving.
Be careful when you are using your VR headset. According to a story in Business Insider, citing a story in The Guardian newspaper, insurance rates have jumped 31% as people have been injured or furniture has been damaged by gamers flailing about their living rooms.
There is a wine story buried down in the miscellaneous news section that says Millennials don't drink enough wine, which is going to be a problem for the industry as the Baby Boomer's consumption wanes.
Have a great day and stay safe and treat people the same way you want to be treated: with respect, equality and justice.~JJL
++++
++++
There's a Portrait of Jamie Dimon Hanging in JPMorgan's Metaverse Lounge; Blockchain unit Onyx welcomes visitors in Decentraland; Bank releases paper on how businesses can explore metaverse
Yueqi Yang - Bloomberg
JPMorgan Chase & Co. has a lounge in the metaverse: Visitors are greeted by a digital portrait of Jamie Dimon and a roaming tiger. Walk upstairs and you'll see an executive's presentation on the crypto economy. The lounge is located at the Metajuku mall in Decentraland, a browser-based metaverse backed by the Digital Currency Group. Onyx, JPMorgan's blockchain unit formed in 2020, set up the lounge as it released a paper on how businesses can explore opportunities in the metaverse.
/jlne.ws/3LCL72y
***** Who are your heroes? I know where you can get a picture of a former president cheap.~JJL
++++
The Markets Don't Know How to Value Peace; Trading on war scenarios is hard enough but, even if the threat of hostilities vanishes, the underlying conditions remain very messy
Marcus Ashworth - Bloomberg
It's always tricky to trade on potential war scenarios. Assessing any prospective fallout — as well as its magnitude — is never simple. But the flipside is also true. If the Ukraine situation were to de-escalate, there isn't going to be a neat reversal of recent market swings. Things will remain complicated if Russia takes the off-ramp.
/jlne.ws/3oT1Ipd
***** When have we ever had peace? I mean complete peace? According to the site WorldPopulationReview.com, here is the list of countries where some kind of war is being waged.~JJL
++++
Eric Schmidt creates $125mn fund for 'hard problems' in AI research; Former Google chief wants latest philanthropic project to solve difficult tech issues such as bias, harm and geopolitical conflict
Madhumita Murgia - FT
Former Google chief executive Eric Schmidt is launching a $125mn philanthropic project to fund artificial intelligence research that solves "hard problems" in the field, including issues of bias, harm and misuse, geopolitical conflict, and scientific limitations of the technology.
/jlne.ws/3GXjde6
*****Two trains are traveling in opposite directions, one going 10 miles an hour, the other 75. They are 1000 miles apart. When will they collide? Trick question. They are not on the same track.~JJL
++++
Political Satirist P.J. O'Rourke Dies at Age 74; The author and journalist who worked for publications including National Lampoon and Rolling Stone died from lung cancer complications
Joseph Pisani , Talal Ansari - WSJ
P.J. O'Rourke, the author and political satirist, has died. He was 74 years old. His death was confirmed by his publisher, Grove Atlantic. It said Mr. O'Rourke died Tuesday morning from complications related to lung cancer. Mr. O'Rourke, a Republican, wrote about politics, cars, the economy and other subjects, mixing in his irreverent humor and sharp wit. He was known for his bestselling books, "Parliament of Whores: A Lone Humorist Attempts to Explain the Entire U.S. Government" and "Give War a Chance: Eyewitness Accounts of Mankind's Struggle Against Tyranny, Injustice and Alcohol-Free Beer."
/jlne.ws/3GSYJmT
***** The world just became a little less funny.~JJL
++++
Tuesday's Top Three
Our most read story yesterday was FIA's, On a Mission: Keith Todd, CEO of Trading Technologies about where the company is headed after their acquisition by 7RIDGE. Second most read was the Reuters' story, Credit Suisse entities agree to settle lawsuit in U.S. for $81 million - court filing. Third was from Decrypt, Why Jump Crypto Bailed Out Wormhole.
++++
MarketsWiki Stats
26,717 pages; 237,357 edits
MarketsWiki Statistics
++++
|
|  | | |
| All MarketsWiki Sponsors» | | | | | | | John Lothian News (JLN) is the news division of John J. Lothian & Company, Inc. (JJLCO). The online media and financial services firm is staffed by derivatives industry, journalism and technology professionals. | | | | | | | John Lothian News Editorial Staff: | | | John Lothian
Publisher | | | Sarah Rudolph
Editor-in-Chief
| | | Jeff Bergstrom
Editor
| | | Alex Perry
Associate Editor
| | | 
|
| |
|
|
 | |
| Lead Stories | NYSE Wants to Be Marketplace for NFTs Just Like With Stocks
Crystal Kim - Bloomberg
Trademark filing shows plans to offer digital assets; Exchange minted its first NFTs last year around IPOs
The New York Stock Exchange is stepping into the nonfungible tokens market with plans to do for digital assets what it does for stocks. The NYSE said in a regulatory filing with the U.S. Patent and Trademark Office that it wants to be a financial exchange for cryptocurrencies and NFTs that would compete with the likes of OpenSea and Rarible Inc. The filing, dated Feb. 10, indicated plans for a NYSE-branded cryptocurrency and a marketplace to buy, sell and trade NFTs.
/jlne.ws/3JCKxjP
Bakkt, Once Wall Street's Hot Crypto Play, Has Cooled; Stock in company launched by NYSE's parent is down 80% since October
Alexander Osipovich - WSJ
A cryptocurrency venture launched with fanfare by the parent company of the New York Stock Exchange is fighting to get back on track after a stock-market beatdown. Shares of Bakkt BKKT 23.53% Holdings Inc. are down 80% since October. Bakkt is set to report results Thursday for its first quarter as a stand-alone public company. The numbers will shed light on how much progress Bakkt has made toward fulfilling its ambitious targets for revenue and user growth. It laid out the targets in January 2021, when NYSE parent Intercontinental Exchange Inc. unveiled plans to take Bakkt public by merging it with a special-purpose acquisition company.
/jlne.ws/3sNHqyD
Japan's Stock Market Plans Revamp to Draw More Investors; Some foreign investors say Tokyo Stock Exchange's creation of 'Prime' section is window dressing, citing corporate culture as major drawback
Suryatapa Bhattacharya - WSJ
The Tokyo Stock Exchange, a former global No. 1 turned also-ran, has a plan for revival that calls for sweeping out the market's dusty corners where small and lightly traded companies loiter. The exchange recently unveiled its biggest overhaul in 60 years that includes tougher standards for its top section, which will be renamed "Prime" and start operating in April.
/jlne.ws/3GQ6AS5
CME Group Launches First Price Comparison Tool for Listed and Cash U.S. Treasuries: UST Market Profile
CME Group
CME Group, the world's leading derivatives marketplace, today announced it has launched UST Market Profile, the industry's first tool to bring together listed Treasury futures and BrokerTec cash treasuries in one comprehensive view for global bond traders to trade more efficiently between these two highly complementary liquidity pools.
/jlne.ws/3uQqBFT
A Crucial Clue in the $4.5 Billion Bitcoin Heist: A $500 Walmart Gift Card; Increasingly sophisticated tools and some gift cards helped lead investigators to charge a young couple with conspiring to launder billions
James Fanelli, Ben Foldy, Dustin Volz - WSJ
Federal investigators spent years hunting for clues in the 2016 hacking of the Bitfinex cryptocurrency exchange, when thieves stole bitcoin now worth $4.5 billion. In the end, what helped lead them to two suspects was something much more quotidian: a $500 Walmart gift card. That card and more than a dozen others like it, including for Uber, Hotels.com and PlayStation, were linked to emails and cloud service providers belonging to a young Manhattan couple, Ilya "Dutch" Lichtenstein and Heather R. Morgan, according to a criminal complaint. Authorities arrested the couple after seizing $3.6 billion worth of bitcoin allegedly in their control—the Justice Department's largest financial seizure ever.
/jlne.ws/3BpGzYM
Citi's Jane Fraser ditches ambition to break into Wall Street's big league; Hopes of becoming top-three investment bank conceded in order to focus on more profitable areas
Imani Moise and Stephen Morris - FT
The last time Citigroup hosted an investor day, then-chief executive Michael Corbat tried to convince shareholders that the bank was on the cusp of a turnround after years of underperforming its peers and raising the hackles of regulators. "Citi has crossed an inflection point," he said at the 2017 conference, pointing to opportunities in everything from investment banking to Mexican consumer lending. "We're now clearly on a path to growth and stronger returns."
/jlne.ws/3BmPR7X
Top finance watchdog urges west to 'think twice' about Russia sanctions; Chair of Financial Stability Board warns of 'severe disruption' if country cut off from payments system
Laura Noonan - FT
The chair of the world's most powerful financial watchdog has called on global leaders to "think twice" before imposing crippling sanctions on Russia, warning that the most punishing penalties run the risk of undermining global financial stability. Klaas Knot, chair of the Financial Stability Board, told the Financial Times that suspending Russia's access to the Swift international payments system, which underpins trillions of dollars of transactions a year, could result in a "severe disruption in payment flows".
/jlne.ws/353ByZC
The looming threat of long financial Covid; Necessary debt restructurings will be prolonged and messy while people and economies suffer
Martin Wolf - FT
Economic activity contracted in 90 per cent of the world's countries in 2020. This exceeded the proportion hit by the two world wars, the Great Depression and the global financial crisis. A pandemic, we now know, is a comprehensive disaster. It also bequeaths ill health and social and economic disruption. Among the most long-lasting legacies could be financial ones, especially in emerging and developing countries. The spectre of a lost decade looms for vulnerable nations. Determined action will be needed to prevent this. (See charts.)
/jlne.ws/3BqpYUK
Coinbase Eyes Challenge to Western Union With Crypto Remittances
Olga Kharif - Bloomberg
Starting in Mexico, with plans to potentially expand; The service is free through end of March, Coinbase said
Coinbase Global Inc., the biggest U.S. cryptocurrency exchange, is wading into the international money-transfer business, seeking to tap into a huge market dominated by firms like Western Union Co. Coinbase said it has launched a free pilot program for sending crypto funds to friends and family in Mexico. Receivers can convert the tokens into pesos at participating locations across the country or invest the funds into a Coinbase account. The service will become fee-based after March 31.
/jlne.ws/3BomlyB
FCA 'concerned' over Binance deal to access UK payments network; Financial regulator warned last year that the crypto platform poses a 'significant risk' to consumers
Joshua Oliver - FT
The Financial Conduct Authority has said it is concerned about a deal to give Binance access to a large UK payments network just months after the regulator warned the exchange poses a "significant risk" to consumers. Binance, one of the world's biggest crypto platforms, said its users could "now deposit [sterling] . . . via [the] Faster Payment Service", a key UK payments network, after it reached an agreement with payments group Paysafe.
/jlne.ws/33q6lQ1
Binance.US Faces SEC Probe Over Trading Affiliates: Report; The two affiliates have ties to Binance founder Changpeng Zhao, The Wall Street Journal reported.
Brandy Betz - Coindesk
The Securities and Exchange Commission (SEC) is investigating the relationships between the U.S. arm of cryptocurrency exchange Binance and two firms owned by Binance founder Changpeng Zhao, The Wall Street Journal reported.
/jlne.ws/3uTI00y
Proprietary traders turn away from FX in 2022, report finds; Acuiti report found that just 12% of proprietary trading firms saw big potential in the asset class amid uncertain monetary policy from banks.
Annabel Smith - The Trade
Proprietary trading firms are expected to turn their heads away from foreign exchange in 2022 amid uncertain monetary policy, a report by Acuiti has found. Just 12% saw big potential in the asset class, ranking last in Acuiti's report, with over a third of prop trading firms seeing little potential.
/jlne.ws/3rRnIT7
DTCC launches treasury service providing access to repo trade data amid market uncertainty; The service is aiming to increase market transparency and provide new insights as the industry continues to navigate volatility.
Jonathan Watkins - The Trade
The Depository Trust & Clearing Corporation (DTCC) has launched a treasury kinetics service that provides access to US treasury transaction data in a bid to increase transparency into the repo market. Leveraging data from the Government Securities Division of DTCC's subsidiary, Fixed Income Clearing Corporation (FICC), the new service provides a daily summary of aggregated and anonymised trade activity including number of trades, volumes, dollar amounts and rates for delivery vs. payment (DVP) repo.
/jlne.ws/3LGpq1R
CME Group launches US-based crypto reference rates; The reference rates will be settled in US time, providing a new risk management tool to meet institutional client demand.
Laurie McAughtry - The Trade
Derivatives giant CME Group has confirmed plans for a new daily US dollar reference rate for Bitcoin and for Ether, the native currency for the Ethereum platform. Set to launch from 28 February 2022, the reference rates will be published daily at 4pm ET, the highest volume hour for cryptocurrency trading.
/jlne.ws/3t41A7N
What Australia Can Teach the U.S. About Private Equity
Mark Hulbert - Barron's
The number of publicly traded U.S. companies keeps dwindling. More and more young firms are waiting longer and longer before going public, if at all. Many public companies are going private. The net result is that, since the late 1990s, there has been a 47% drop in the number of publicly listed companies, according to the World Bank.
/jlne.ws/3oRYUbQ
'Crypto Ruined My Life': The Mental Health Crisis Hitting Bitcoin Investors; The stress, anxiety and depression of funnelling your life savings into a volatile market is no joke.
Ruchira Sharma - Vice
If you have a friend who's "into crypto", then now is the time to check in on them. In late January, prices of Bitcoin and Ethereum, two of the most popular cryptocurrencies, plunged to levels that many experts never predicted, and memecoins like Dogecoin were dragged down with them. Countless people have watched thousands of pounds disappear before their eyes.
/jlne.ws/34MlPP5
|
| | | |
|
| |
| Wellness Exchange | | An Exchange of Health and Wellness Information | Europe Heads Back to Normal as Germany Joins End of Covid Curbs
Arne Delfs and Iain Rogers - Bloomberg
Austria, Switzerland, Netherlands are also easing virus rules; France targets return to 'quasi-normal' life within weeks
Europe looks to be leaving the pandemic behind with Germany poised to join other countries in unwinding restrictions that have disrupted life in the region for two years.
/jlne.ws/3gRr8za
Study Shows Omicron Sub-Variant No More Severe Than First Strain
Antony Sguazzin - Bloomberg
Hospitalization risk from BA.2 is similar to initial strain; Subvariant studied in South Africa, where it dominates
The rapidly spreading omicron BA.2 subvariant doesn't cause significantly more severe disease than the original version, according to a South African study that appears to allay fears it causes harsher illness. mPatients infected with the new subvariant suffered from similar rates of severe disease and hospitalization as those with the original omicron strain, according to researchers from the country's National Institute for Communicable Diseases that analyzed data from a large hospital group and the government laboratory service, looking at almost 100,000 cases.
/jlne.ws/3Bx4sh5
|
| | | |
|
| |
| Exchanges, OTC & Clearing | | Top news from exchanges, clearing, settlement and trade execution facilities | Nasdaq Europe to Launch New Equity Derivatives Platform
Shanny Basar - MarketsMedia
Nasdaq Europe will be going live with a new equity derivatives platform in the first quarter of this year after achieving records in its listings and trading businesses across the Nordic and Baltic regions in 2021. Bjørn Sibbern, president of European markets at Nasdaq, told Markets Media: "We want to be the leading exchange in Europe for both listings, trading and technology. This year we will go live with a new equity derivatives platform in the first quarter."
/jlne.ws/33oj4Tj
BrokerTec Relative Value Curve Spread Trading Sets Single-Day and Weekly ADV Record
CME Group
BrokerTec, a leading provider of electronic trading platforms and technology services in fixed income markets, today announced that Relative Value (RV) Curve spread trading achieved a single-day, volume record of $2.83 billion notional on February 10, and a weekly average daily notional volume (ADNV) record of $1.47 billion achieved during the week of February 7, 2022.
/jlne.ws/3GYHkJj
Memx data fees tackle professional vs. non-professional audit risk; The exchange delivers on its promise to reduce the cost of exchange data, but subscribers still face an administrative cost burden associated with the lower user fees.
Max Bowie - Waters Technology
The Members Exchange (Memx) finally announced last week that it will begin charging fees for its market data in April this year. The low monthly per-user fees (along with higher, enterprise-wide fees) live up to the exchange's promise to deliver lower fees for data than the rest of the industry, but also serve a serious purpose in reducing the compliance burden faced by firms designating whether end users should be classed as professionals or non-professionals.
/jlne.ws/3LBQlfe
Vår Energi lists on Oslo Børs, part of Euronext Group
Euronext
Sold shares for a total of NOK 7.7 billion to 19,000 investors; The third largest listing on Oslo Børs with market capitalisation of NOK 70 billion; The first listing on Oslo Børs Main Market in 2022, and the 10th on Euronext markets
Oslo Børs, part of the Euronext Group, today congratulates Vår Energi on its listing on Oslo Børs (ticker: VAR). This is the third largest listing on Oslo Børs through time measured in market capitalisation on the day of listing. In addition, it is the first listing on our main market this year, and the 10th listing on Euronext markets.
/jlne.ws/3GNIY0B
HKEX Names Co-Head of IPO Vetting
HKEX
Hong Kong Exchanges and Clearing Limited (HKEX) is today (Wednesday) pleased to announce it has appointed Li-Chien Wong (LC) as Managing Director, Co-Head of IPO Vetting. Working in partnership with Stephanie Lau, Ms Wong will oversee all issuer listing applications. Together they will lead a highly experienced team of professionals that support the continued development of Hong Kong as a global listing venue of choice. Ms Wong has 25 years of experience in private practice as a corporate and capital markets lawyer, 20 of those in Hong Kong.
/jlne.ws/3JzMxZM
NYSE Group - Disaster Recovery Test - April 2, 2022
NYSE
On Saturday, April 2, 2022, NYSE will offer an opportunity for firms to test connectivity to the NYSE Disaster Recovery data center in Cermak. NYSE, NYSE Arca, NYSE American, NYSE National, NYSE Chicago, NYSE American Options, NYSE Arca Options, Global OTC, and FINRA/NYSE TRF will be available to test. The test will run between 8 AM ET and 12 PM ET.
/jlne.ws/3rSQinn
SGX RegCo reprimands Debao Property Development Limited
SGX
Public reprimand: Breach of Listing Rules
1. Singapore Exchange Regulation (SGX RegCo) reprimands Debao Property Development Limited (Company) for breaches of the Listing Rules. 2. SGX RegCo was alerted to possible breaches of the Listing Rules and received information from the Company in March 2021 in the course of our investigation. Our investigation uncovered that the Company had breached the following Listing Rules in relation to its acquisition of Elite Starhill Sdn. Bhd. (Elite Starhill), as announced by the Company in September 2015 (Announcement):
/jlne.ws/34Mjd3J
Trading by Type of Investors
JPX
/jlne.ws/3LDkgUd
-- Performance Bond Requirements: Interest Rate Margins - Effective February 16, 2022 - CME
|
| | | |
|
| |
| Fintech | | A roundup of today's market tech news and a look at tomorrow's disruptors | Stronghold launches $100M venture arm to invest in underrepresented founders and fintech
Anita Ramaswamy - TechCrunch
Payments infrastructure company Stronghold has launched a venture capital arm to deploy $100 million of its balance sheet capital in startups and funds in three core strategies — underrepresented founders, fintech, and web3, CEO Tammy Camp told TechCrunch in an interview.
/jlne.ws/3H6TccF
Better Tomorrow Ventures closes on $225M fintech-focused fund, which is triple the size of its last fund
Mary Ann Azevedo - TechCrunch
Early-stage fintech-focused venture firm Better Tomorrow Ventures has raised $225 million for its second fund — triple the amount it raised for its debut fund that closed in September of 2020.
Founded by Sheel Mohnot and Jake Gibson in November of 2019, San Francisco-based Better Tomorrow Ventures (BTV) has allocated $150 million to invest in startups at the pre-seed and seed stages. It has also reserved $75 million for an opportunity fund for follow-on investments.
/jlne.ws/3HVIcQq
What Flutterwave needs $250 million for? Think fintech domination — Quartz Africa
Alexander Onukwue - Quartz
Less than a year after Flutterwave became a unicorn through a mega-round co-led by Tiger Global, nine mostly US investors have co-invested $250 million at a $3 billion valuation, believing that this six-year-old African fintech company will eventually dominate its market.
/jlne.ws/3gN4ckw
CMC Markets partners with Integral to expand institutional distribution network; Institutional Integral clients will be able to access pricing and execute trades across spot FX and indices, treasuries and commodity CFDs at CMC Markets.
Wesley Bray - The Trade
Global provider of institutional trading and technology solutions, CMC Markets Connect, has partnered with FinTech company Integral to expand its institutional distribution network. In addition to providing cloud-based eFX workflow solutions, a range of liquidity providers are brought together through the platform to form a single, integrated network.
/jlne.ws/3JAtIWn
Former Fenics and TP ICAP managers join TraditionDATA's sales team; Incoming senior business development managers bring considerable experience to TraditionDATA, having previously served at SmartStream, Thomson Reuters, Broadridge and Bloomberg.
Wesley Bray - The Trade
Compagnie Financière Tradition's data and information services division, TraditionDATA, has appointed two senior market specialists to its sales teams as it seeks to expand its global presence. Steve Murphy and Bruce Messing join TraditionDATA as senior business development managers, based in Madrid and New York, respectively.
/jlne.ws/3GVYvvf
|
| | | |
|
| |
| Cybersecurity | | Top stories for cybersecurity | We need a cybersecurity paradigm change
Franklin D. Kramer, Melanie J. Teplinsky and Robert J. Butler - TheHill
Whether one looks at Colonial Pipeline as an example of recent multitudinous cyber ransomware attacks; the Microsoft Exchange attack as a further exemplar of widespread vulnerability; or the SolarWinds supply chain debacle potentially threatening thousands of companies, the vulnerability of the United States private sector to cyber intrusions particularly from China and Russia is all too clear. The current system of cybersecurity is simply failing to meet the most alarming threats.
/jlne.ws/3Bsdmw9
Securonix Locks Up $1B Round, Cybersecurity's Largest Raise Of The Year
Chris Metinko - CrunchBase
Securonix has announced a raise of more than $1 billion from Vista Equity Partners.
The round marks the second-largest round by a U.S.-based, VC-backed company this calendar year—behind Cruise's $1.35 billion raise earlier this month, according to Crunchbase data.
/jlne.ws/3gPY3UL
White House Focuses on Improving the Cybersecurity of National Security Systems
Townsend L. Bourne and Nikole Snyder - National Law Review
President Biden recently signed a National Security Memorandum on cybersecurity. This memorandum was required by an earlier executive order, which we previously have discussed here. The new memorandum (NSM) requires certain network cybersecurity measures for any government information system that is used for highly sensitive national security purposes. The requirements go into effect on a rolling basis over the next 6 months.
/jlne.ws/3GUHVMr
SEC Focus on Cybersecurity Begins to Take Shape
JDSupra
The U.S. Securities and Exchange Commission is implementing a campaign to overhaul the agency's expectations around cybersecurity and cyber incident reporting for the financial services industry and corporate America generally. For example, in a recent speech, Chairman Gensler reiterated his focus on cybersecurity and underscored the SEC's work to "improve the overall cybersecurity posture and resiliency of the financial sector." These remarks echoed sentiments he has previously conveyed (including in Congressional testimony) regarding cybersecurity risk governance.
/jlne.ws/3gRXdqG
Cybersecurity Alert - February 15, 2022
FINRA
The Cyber and Analytics Unit (CAU) within FINRA's National Cause and Financial Crimes Detection (NCFC) program would like to bring an important cyber-related development to your attention. The Cybersecurity & Infrastructure Security Agency (CISA) and the FBI issued a "Shields Up" warning this week regarding potential Russian cyberattacks to target U.S. organizations related to Russia's potential destabilizing actions against Ukraine. CISA advised that while there are not currently any specific credible threats to the U.S., they recommend that all organizations, namely U.S. critical infrastructure including the financial service industry, adopt a heightened posture related to cybersecurity. CISA recommends specific actions (see cisa.gov/shields-up) that will:
/jlne.ws/33o6G5I
|
| | | |
|
| |
| Cryptocurrencies | | Top stories for cryptocurrencies | China Is Showing Off the Digital Yuan at the Olympics. Can the U.S. Compete? While some worry about America falling behind, banks want the Federal Reserve to stay away from digital dollars.
Joe Light - Bloomberg
OpenChina is competing for more than just medals at the Winter Olympics in Beijing this month. It's also quietly trying to define the future of money. Although attendees can pay vendors for food and souvenirs with a Visa or cash, they also have the option of holding up a phone, scanning a barcode, and paying with the "e-CNY," or electronic yuan, one of the only so-called central bank digital currencies offered by a major economy.
/jlne.ws/33slbFQ
Cryptoassets Threaten Financial Stability, Top Regulator Warns
Tom Metcalf - Bloomberg
FSB highlights structural vulnerabilities of cryptoassets; Liquidity mismatches and credit risks seen as destabilizing
Global financial regulators said digital assets could soon threaten global financial stability due to their scale, structural vulnerabilities and increasing interconnectedness with the traditional financial system. Areas of concern include the use of leverage, technological fragilities and liquidity shortages, according to a report Wednesday by the Financial Stability Board. The report also noted concerns such as low levels of investor and consumer understanding of cryptoassets, plus risks of money laundering, cyber-crime and ransomware.
/jlne.ws/3oRM65g
Chinese state pumps money into metaverse stakes; Officials place bets on digital craze in bid to place country at heart of internet evolution
Eleanor Olcott - FT
Chinese local governments and state-backed entities are pumping money into companies involved in creating the so-called metaverse, as the country competes to become the global centre of the new digital craze.
/jlne.ws/3sLbYB1
With a tiger and Jamie Dimon, JPMorgan enters the metaverse
Steve Goldstein - MarketWatch
Get ready, metamates — JPMorgan has become the first bank to join the metaverse. JPMorgan Chase JPM, +0.19% launched the virtual bank — complete with a roaming tiger and of course a photo of CEO Jamie Dimon — alongside a report detailing opportunities in the virtual worlds. Already, they note, the average price of a parcel of virtual land has jumped to $12,000 in December from $6,000 last June. Some $54 billion is spent on virtual goods, 60 billion messages are sent daily on Roblox RBLX, -21.93%, and the market cap for non-fungible tokens is $41 billion.
/jlne.ws/3Bn2tfi
|
| | | |
|
| |
| Politics | | An overview of politics as it relates to the financial markets | Republicans try to block Joe Biden's nominee for top Fed watchdog role; Concerns raised over Sarah Bloom Raskin's work on climate risks and private sector role
Colby Smith and Lauren Fedor - FT
Top Republican senators have launched an eleventh-hour effort to block Sarah Bloom Raskin's confirmation to the top regulatory role at the Federal Reserve by boycotting a planned vote on Tuesday.
/jlne.ws/3uUKADw
As Oil Nears $100, Saudis Snub U.S., Stick to Russian Pact Amid Ukraine Crisis; Saudi officials say they won't pump more oil to ease prices, despite U.S. calls for more crude
By Benoit Faucon, Summer Said - WSJ
Rising oil prices and fears of a Russian invasion of Ukraine have created a dilemma for Saudi Arabia: Help the West by pumping more crude to tame the market, or stand by a five-year-old oil alliance that is helping Moscow at the expense of Washington. For now, the world's largest crude exporter is sticking with Russia.
/jlne.ws/3oV3oyC
Senate Republicans Block Vote on Biden's Fed Nominees; GOP lawmakers registered their opposition to the candidacy of Sarah Bloom Raskin as a top banking regulator
Andrew Ackerman, Nick Timiraos - WSJ
Senate Republicans refused to attend a crucial committee vote on President Biden's nominees to the Federal Reserve over a disagreement with Democrats on one of the candidates, delaying the confirmation of all five picks, including Chairman Jerome Powell. Republicans had earlier said they wouldn't attend a Senate Banking Committee vote on the nominees because of concerns they had with Sarah Bloom Raskin, nominated to serve as vice chairwoman for bank supervision.
/jlne.ws/3LE2xMd
|
| | | |
|
| |
| Regulation & Enforcement | | For more regulatory, visit MarketsReformWiki, our website focused on current market reform efforts. | Episode 18: Advancing Crypto Derivatives
ISDA
With banks and institutional investors showing increased appetite for crypto assets, what role will derivatives play in this exciting asset class, and what steps need to be taken to build a robust and liquid derivatives market? Mark Wetjen, head of policy and regulatory strategy at FTX US, gives his views.
/jlne.ws/3gKpiA9
US probe of 'block trades' on Wall Street heats up; Regulators examine whether banks and hedge fund traders are improperly profiting from big share sales
Brooke Masters and Joshua Franklin - FT
A slow-burning regulatory probe of big share sales on Wall Street has kicked up a notch as watchdogs examine whether banks and hedge fund traders are improperly profiting at the expense of institutional sellers and retail traders.
/jlne.ws/3rRPZZS
Actor sentenced in $650 million Ponzi scheme involving fake Netflix, HBO deals
By Marjorie Hernandez - NY Post
An LA actor who orchestrated an elaborate Ponzi scheme that raised $650 million in bogus licensing deals with HBO and Netflix was sentenced to 20 years in federal prison. In addition to jail time, US District Judge Mark C. Scarsi on Monday ordered Zachary Joseph Horwitz, 35, to pay about $230 million in restitution to more than 250 investors who bankrolled his business venture 1inMM Capital.
/jlne.ws/3HUa7jR
ASIC prosecutes seven companies for failing to lodge financial reports and hold AGMs
ASIC
Between 1 July 2021 and 31 December 2021, ASIC prosecuted seven companies for failing to comply with their obligations to lodge financial reports and hold annual general meetings (AGMs) in the required timeframes.
/jlne.ws/3GT1pB4
SEC Charges 12 Additional Financial Firms for Failure to Meet Form CRS Obligations
SEC
The Securities and Exchange Commission today announced that six investment advisers and six broker-dealers have agreed to settle charges that they failed to file and deliver client or customer relationship summaries - known as Form CRS - to their retail investors by the required deadline and, in some cases, failed to include all information necessary to satisfy Form CRS requirements.
/jlne.ws/3HQafka
Statement on Public Dissemination of Security-Based Swap Transactions
Chair Gary Gensler - SEC
On Monday, the Securities and Exchange Commission took another step to promote transparency in our markets. The public now has access to critical information about security-based swap transactions, including the key economic terms, price, and notional value. This development strengthens post-trade transparency and efficiency in the security-based swaps market, which historically has operated in the dark.
/jlne.ws/3HVLoeS
ESMA proposes reforms to improve resilience of Money Market Funds
ESMA
The European Securities and Markets Authority (ESMA), the EU's securities markets regulator, is issuing an Opinion containing proposed reforms to the regulatory framework for EU Money Market Funds (MMFs) under the Money Market Funds Regulation (MMFR). The proposals will improve the resilience of MMFs by addressing in particular liquidity issues and the threshold effects for constant net asset value (CNAV) MMFs.
/jlne.ws/350KOOa
ESMA responds to European Commission consultation on the Listing Act
ESMA
The European Securities and Markets Authority (ESMA), the EU's securities markets regulator, has today published its response to the European Commission's targeted consultation on the Listing Act. The response reflects ESMA's views on the functioning of the existing regulatory framework for companies' listing on public markets, particularly in relation to prospectus, corporate governance, transparency, and market abuse rules.
/jlne.ws/3rVjgmG
TRACE Depository Institution Reporting
FINRA
As announced by the Board of the Federal Reserve System in the Federal Register on October 28, 2021, FINRA will collect detailed data on depository institutions' daily transactions of marketable U.S. Treasury securities and of the debt and MBS issued by U.S. federal government agencies including government-sponsored enterprises (agencies) via its Trade Reporting and Compliance Engine (TRACE). The effective date is September 1, 2022.
/jlne.ws/3GT6zgj
Monthly Disciplinary Actions - February 2022
FINRA
FINRA has taken disciplinary actions against the following firms and individuals for violations of FINRA rules; federal securities laws, rules and regulations; and the rules of the Municipal Securities Rulemaking Board (MSRB).
/jlne.ws/3LGs3AL
|
| | | |
|
| |
| Investing & Trading | | Today's top stories from equities, indices and FICC (fixed income, currencies and commodities) | Why Collecting Vintage Watches Took Off During the Pandemic; A watch's provenance—who owned it, when and the story it tells—counts for more than it ever did
Kate Murphy - WSJ
One of the more common psychological side effects of the pandemic has been a distorted sense of time. With work and school schedules upended and things like birthday parties and holiday celebrations canceled or curtailed, we've lost many of the ways we used mark time. Worse is the way time has seemed to alternately slow down and speed up as the virus rages, retreats and repeats, in a kind of disorienting and disquieting déjà vu.
/jlne.ws/3v2cLQC
A Tighter Oil Market Has Downsides for Producers, Too; Risk of conflict in Ukraine is pushing crude prices close to $100 a barrel, but it could drive investment needed to rebalance market
Rochelle Toplensky - WSJ
Tensions on the Russian-Ukrainian border threaten to exacerbate an already tight oil market and push prices up further. But the situation is more of a mixed blessing for global producers than you might think. High commodity prices funded a cash windfall in the fourth quarter that fossil-fuel producers used to pay down debt and bankroll a bonanza of capital returns. This year, talk of war has given oil and gas prices another lift.
/jlne.ws/36cnwWd
US avocado import ban from Mexico sparks fears of nationwide shortage
Thomas Barrabi - Bloomberg
The US suspension of avocado imports from Mexico is already sparking fears of shortages at grocery stores and restaurants, with industry insiders warning the market may be just days away from running out of its supply. A lengthy halt in shipments from Michoacán, the only state in Mexico cleared to export the fruit to the US, would leave US businesses without many options to obtain enough avocados to meet massive demand - and result in higher prices for the few avocados available at stores.
/jlne.ws/3sJgjob
|
| | | |
|
| |
| Environmental, Social and Corporate Governance | | Stories about environmental, social and governance investing | Corporate Values Do Have a Market Price; Meeting ESG expectations is about more than reputational risk.
Mark Gilbert - Bloomberg
Companies are under increasing pressure to improve their performance on environmental, social and governance issues. Now, two studies suggest that investors punish the valuations of those that either breach their corporate responsibilities or overpromise on their greenness. Firms that haven't yet assigned a senior executive to oversee ESG accountability would do well to get a wiggle on.
/jlne.ws/3v27xnY
|
| | | |
|
| |
| Banks, Brokers & Managed Funds | | The latest from banks, brokers, hedge funds and managed futures | ETF Launches Are Already on Track to Top Last Year's Record Pace
Peyton Forte - Bloomberg
Issuance of new exchange-traded funds are piling up this year and threatening to overtake 2021's historic boom as firms bet big on continued growth.
/jlne.ws/3BlPQ4a
ED&F Man plans new $1bn debt restructuring; London broker raises $300mn of fresh financing to tap commodities boom
Philip Stafford - FT
ED&F Man plans to restructure nearly $1bn of debt and has raised $300mn of new financing for its main trading business after the UK broker's banking covenants restricted its ability to trade through the commodities boom. The broker, one of the oldest commodities brokers in London, is seeking to ringfence its commodities division from its old debts and inject the funds into the unit to restore trading volumes, according to a shareholder letter seen by the Financial Times.
/jlne.ws/3HWXHYb
|
| | | |
|
| |
| Regions | | Stories of local interest from the Americas, EMEA and Asia-Pacific regions | Australia's top LNG group says unable to plug gap if Russia cuts off Europe; Santos boss says most gas is contracted to Asia as worries build over Moscow's reprisals in case of war
James Fernyhough - FT
The chief executive of one of Australia's largest liquefied natural gas producers has said that just a small fraction of his company's LNG could be made available to Europe in the event of a conflict with Russia.
/jlne.ws/3LC8AB2
|
| | | |
|
| |
| Miscellaneous | | Stories that don't quite fit under the other sections | The Wine Business Sees a Problem: Millennials Aren't Drinking Enough; As baby boomers retire and buy less wine, producers need new ways to tempt a White Claw generation back from other alcoholic drinks, according to a new report.
Eric Asimov - NY Times
The American wine industry believes it has a problem: millennials. More specifically, it's the fact that aging baby boomers — currently the prime market for wine — are nearing retirement age, the time of life when consumerism typically declines. Millennials, the generation that began to come of age after the turn of the century, have given no indication that they are poised to step in. They buy much less wine than boomers, and the wine industry has not done enough to entice them to become regular consumers.
/jlne.ws/3I1Xnru
|
| | | |
|
| |
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.
© 2022 John J. Lothian & Company, Inc. All Rights Reserved. |
|
|
