Derivs - People and Markets

JP Morgan and Société Générale both picked up awards at the GlobalCapital Bond Awards 2016 on Wednesday for providing derivative solutions to borrowers.

Brent and WTI oil futures have risen to above $50 for the first time since November and July respectively, amid bullish short term positioning by aggressive managers and supportive supply data this week. But while traders called this a ‘psychological’ level for the commodity, physical markets are still sounding a note of caution.

US banks face tighter but potentially confusing restrictions on booking swaps business overseas, say lawyers, after the Commodity Futures Trading Commission (CFTC) adopted a rule that applies multi-faceted criteria to applying cross-border margining requirements on uncleared swaps.

Derivatives traders this week took the resignation of Brazilian planning minister Romero Juca in their stride, leaving key measures of risk largely unchanged.

Intercontinental Exchange has promoted a long-serving senior official at the firm to chief technology officer.

OTC Clearing Hong Kong (OTC Clear) is set to provide clearing services for cross-currency swaps (CCS) by the end of the year as it banks on the city’s status as a premium offshore renminbi hub.

Axa’s decision to quit tobacco investments is a watershed moment for ethical investment and its influence will be felt in capital markets — although others may be slow to kick the habit.

Replenishing the default fund of a failed central counterparty (CCP) and addressing single point of entry at its holding company are some of the biggest challenges regulators face in developing a resolution framework for systemically important CCPs, according to a report by the Clearing House and the International Swaps and Derivatives Association.

EBS BrokerTec, ICAP’s electronic foreign exchange and fixed income business, has added FX spot, forwards and swaps to its EBS Treasury platform as it completes the rebranding of the product from its previous name, MyTreasury.

Stoxx has created a series of indices that combine equity and fixed income and are intended to serve as an underlying for exchange traded funds and derivatives.

Equity and currency derivatives markets were ill-prepared for any major policy changes coming out of the G7 meeting this week, with prices reflecting low expectations of volatility. But even as the first day's session on Thursday passed without shocks, there was a growing sense that Friday could bring a bigger showdown.

The Hong Kong Exchange (HKEX) has announced the launch of the first RMB global currency index, with a new line of RMB currency futures approved for take off on May 30.