Derivs - People and Markets

The European Commission announced that five countries’ regulatory frameworks for central counterparties (CCP) are deemed equivalent to the union’s European Market Infrastructure Regulation.

Investors are expressing optimism about the results of the European Central Bank’s stress test of Novo Banco — the so called good bank set up by regulators after the collapse of Portugal’s Banco Espírito Santo last year — despite the headlines that the regulator will require the bank to raise €1.4bn in capital.

ICAP’s agreement to sell its voice broking business to Tullett Prebon, signed on Wednesday, will free the former's profitable electronic trading, post-trade and indexing businesses from the regulatory capital pain that comes from being part of a broker. Meanwhile, Tullett Prebon will become the largest player in hybrid voice broking, taking over ICAP’s voice and information business.

The European Union has hit a big setback in its drive to overhaul financial market rules, with its chief markets regulator demanding a delay of as much as a year before implementing its flagship regulation, Markets in Financial Instruments Directive (MiFID II). But market participants greeted the reprieve as a welcome and necessary delay.

Interdealer broker Tullett Prebon has deepened its commitment to telephone trading by agreeing to buy the global hybrid voice broking and information business of ICAP.

Abide Financial, a UK based transaction reporting specialist, has applied to become a derivatives trade repository under European Market Infrastructure Regulation (EMIR) definitions.

The European Union looks to have hit a big setback with its drive to overhaul financial market rules, after accepting that it will have to delay rolling out its MiFID II legislation framework – and possibly by as much a year.

The Chicago Board Options Exchange (CBOE) is joining forces with Environmental Financial Products, the company that once pushed for US industrials to trade carbon credits, in a bid to go after a new niche derivatives market: small community and regional banks.

Nine offshore RMB clearing banks have been given approvals from the People’s Bank of China (PBoC) to participate in China’s onshore foreign exchange derivative sector, marking another step in China's capital market liberalisation China’s capital market.

This week’s landmark conviction in a Chicago court of a high frequency trader for ‘spoofing’ and commodities fraud has delivered a chilling statement of intent by US authorities to other suspects in the firing line and cranked up nervousness across the markets.

A Chicago court has convicted a high frequency trader of ‘spoofing’ and commodities fraud, in a landmark case that could have dramatic implications for the futures market.

The Financial Stability Board has reported progress in implementing over-the-counter derivatives market reforms, but has also highlighted where it believes further work is needed and is seeking further market feedback.