News

Current Articles | RSS Feed RSS Feed

Treasury Traders Becoming ‘24 Hour Party People’

By Alexandra Scaggs
January 27, 2016, Bloomberg Business

If your idea of a party is staring at a computer screen in the middle of the night in New York, JPMorgan Chase & Co. analysts have a market for you.

The $13.2 trillion Treasuries market is getting pushed around more by global developments, the analysts wrote in a note titled “24 hour party people redux: Global liquidity in U.S. Treasury futures.”

full article describe the image (free)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

FCM Client Clearing Numbers in Steep Decline

By Jonathan Watkins
December 17, 2015, The Trade

The number of futures commission merchants (FCMs) clearing for customers in the U.S. is set to drop to just 54, a huge decline from pre-crisis levels. 

Recent data from the Commodities Futures Trading Commission (CFTC) shows 55 active customer clearing brokers in the US, though one more name now needs to be struck off the list.

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Banks Say New Rules Will Double Capital Needed to Cover Securitized Debt

By Huw Jones
October 20, 2015, Reuters

Banks will have to double the amount of capital they hold to cover possible default on their pooled-debt under planned new global rules, they said on Tuesday, potentially hampering the E.U.'s drive to boost market-based financing for the economy.

Overall, capital held against trading books will on average have to quadruple, some 28 banks including Citi, Deutsche Bank, Goldman, HSBC and JPMorgan said in a submission to regulators.

full article describe the image (free)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Bank Regulators Considering Concessions on Key Capital Rule

By Silla Brush and Jesse Hamilton 
August 26, 2015, Bloomberg Business

Wall Street is making headway in a campaign to persuade regulators to soften a key rule that has forced banks to boost capital since the financial crisis.

After financial firms complained for about a year that some of the new requirements will make it overly expensive to offer derivatives to clients, regulators planned to discuss possible concessions at a private meeting starting Wednesday, according to two people with knowledge of the talks. The meeting consists of policy advisers to a group of global authorities that includes the Federal Reserve, the European Central Bank and the Bank of England, the people said.

full article describe the image (free)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Wall Street Could Save Billions on Swaps as Regulators Squabble

By Jesse Hamilton and Silla Brush
June 25, 2015, Bloomberg Business

A quarrel among regulators could add up to billions in savings for Wall Street banks.

At stake is a proposed rule that has dragged on for years that could require firms like JPMorgan Chase & Co. and Morgan Stanley to set aside tens of billions of dollars in collateral when trading swaps with their own affiliates. Now, a last-ditch effort by bank lobbyists has helped spur some regulators to second-guess how strict they should be, according to three people familiar with the discussions.

full article describe the image (free)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Fed Heeds Banks’ Warning on Where Next Crisis May Come From

By Silla Brush and Jesse Hamilton
April 10, 2015, Bloomberg Business

JPMorgan Chase & Co. and BlackRock Inc. have argued for years that a key response to the last financial crisis could help fuel the next one. Global regulators are starting to heed their warnings.

At issue is the role of clearinghouses -- platforms that regulators turned to following the 2008 meltdown to shed more light on the $700 trillion swaps market. A pivotal goal was ensuring that losses at one bank don’t imperil a wide swath of companies, and the broader economy.

full article describe the image (free)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Clearing Houses Get Insurance Policy

By Philip Stafford
March 11, 2015, Financial Times

A consortium of 20 top-rated global insurance companies are underwriting a policy for clearing houses that would limit losses for users of derivatives and possibly taxpayers in the event of market turbulence.

The scheme aims to create an extra layer of protection for clearing houses, which have become a critical component of the global derivatives industry since the financial crisis.

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

Swap Dealers Making Industry Model to Price Derivatives Deals

By Philip Stafford
March 9, 2015, Financial Times

The world’s largest swap dealers are working on an industry utility to allow them to independently calculate the full price of bilateral derivatives deals and head off a potential upcoming pricing confusion.

Dealers such as JPMorgan, Goldman Sachs and Deutsche Bank are involved in discussions over the creation of an open source model to work out the margin they will need to post for privately-negotiated deals between banks.

full article describe the image (subscription)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

SEC Scrutinizing Bank Efforts to Comply with Capital Rules

By Jody Shenn
February 18, 2015, Bloomberg

The Securities and Exchange Commission is scrutinizing banks’ efforts to appear safer to regulators and shareholders.

The agency is looking for improper behavior related to how banks value complicated assets and to transactions they use to shift risks to other entities, said Michael Osnato, head of the complex financial instruments group in the SEC’s enforcement division.

full article describe the image (free)

SocialTwist Tell-a-Friend Related Posts with Thumbnails

JPMorgan Bankers Charged in Germany Over $64 Million in Swap-Sale Losses

By Karin Matussek
February 9, 2015, Bloomberg News

Two JPMorgan Chase & Co. employees were charged in Germany over the sale of swaps to the city of Pforzheim that resulted in 57 million euros ($64 million) of losses, prosecutors said.

The two men were charged with aiding in aggravated breach of trust for selling “highly speculative” swaps to the municipality, Mannheim prosecutors said in an e-mailed statement Monday. The indictment was filed two years after three city officials were charged over the deal.

full article describe the image (free)


SocialTwist Tell-a-Friend Related Posts with Thumbnails
All Posts