The US Commodity Futures Trading Commission and the US Securities and Exchange Commission have stated separately that global markets, including US entities, face instability because of Brexit uncertainty. CFTC Chairman J. Christopher Giancarlo wants European authorities to provide more details on Brexit, saying "additional clarity and certainty are necessary to limit substantial operational and market risks".
Nasdaq is partnering with VanEck and the latter's indexing arm, MV Index Solutions, to develop a bitcoin futures contract that improves transparency, surveillance and resilience to market manipulation. The project "has the potential to rewrite and reorient digital-asset markets towards a better-regulated and more industry-standard trading ecosystem", says Gabor Gurbacs, director of digital-asset strategy at VanEck and MVIS.
Banks that are splitting operations into UK and EU hubs after Brexit face a potential increase in long-term capital costs, depending on the type of business each location maintains.
Deutsche Boerse's Eurex Clearing has expanded a partnership program to cover repo and will begin offering cross-netting across repo and derivatives in the first quarter. Eurex says 24 US, UK and European participants have signed on.
The Securities and Exchange Board of India has approved US dollar-Indian rupee weekly options from the Metropolitan Stock Exchange, as well as euro-rupee, pound-rupee and yen-rupee monthly options. The exchange also has approval for euro-US dollar, pound-US dollar and US dollar-yen futures and options.
The next generation of retail futures traders in Asia expects global market access and sophisticated tools right out of the gate, but industry experts stress that education is paramount to keeping retail customers engaged in derivatives markets for the long term.
The London Stock Exchange Derivatives Markets and Norway's Oslo Bors are ending a 10-year linked derivatives order book partnership for Norwegian equity derivatives, effective in June.
Deutsche Boerse's European Energy Exchange will expand power derivatives contracts in Eastern Europe through the Independent Bulgarian Energy Exchange in the first half of 2019. The move will bring EEX's power derivatives coverage to 20 markets.
Small banks are disappearing in America, and the Federal Deposit Insurance Corp. wants to change that, writes FDIC Chair Jelena McWilliams. The agency is improving the application process and asking for public comments on the issue, McWilliams says.