Financial MarketsRSS

CFTC’s Johnson calls for greater acquisition oversight powers following FTX collapse

US Commodity Futures Trading Commission (CFTC) commissioner, Kristin Johnson, has called on Congress to give the agency the authority to conduct “due diligence” during the acquisitions of CFTC-registered exchanges or clearing houses.

Subadra Rajappa

US cracks down on repo market blind spot

The US Treasury is clamping down on the repo market after a series of market stresses exposed a major blind spot, but critics are sceptical as to whether its efforts will pay off. 

FSB wants to strengthen liquidity management tools for open-ended funds

There has been no measurable reduction in the degree of structural liquidity mismatches in open-ended funds (OEFs) in the past five years, despite a meaningful implementation of new liquidity measures, the Financial Stability Board (FSB) said.

FSB says RFRs must be anchored in robust markets

With the London interbank offer rate (Libor) being steadily abandoned by the financial system, the Financial Stability Board (FSB) said it is important that the replacement overnight risk-free rates (RFRs) be underpinned by robust and liquid markets.

Simon Treacy, Linklaters

2023 will prove pivotal for crypto regulation as it enters new phase

More regulation of crypto assets was already in the pipeline but the recent turbulence in crypto markets has raised the stakes. The coming year will be pivotal as new restrictions start to apply to crypto asset businesses and the path is laid for further regulation in the years to come.

Kimmo Soramäki

US moves closer to digital dollar, but reservations remain

The US is finally moving towards developing a digital dollar, after years of hesitation and discord. It could speed up payments and slash settlement risk in wholesale markets, but scepticism is still widespread.

OFR proposes more data from opaque segment of US repo market

The largest institutions should submit daily data on all their outstanding non-centrally cleared bilateral repurchase agreement transactions (NCCBR), according to a proposal from the Office of Financial Research (OFR), published on January 5. 

BLM Mairead McGuinness

EU’s pragmatic stance on euro clearing likely influenced by Brexit

The European Commission’s proposals on euro clearing seem to have been significantly influenced by Brexit and geopolitical factors, potentially placing the bloc’s derivatives industry in a stronger competitive position.

Equity ticker

PFOF remains a major sticking point in MiFIR review

Payment for order flow in equities markets is proving one of the toughest issues to crack in the EU’s review of its market rules and is likely to be tackled last by policy-makers.

GET renminbi

CIPS could prove to be a long-term threat to US-centric financial system

China’s Cross-Border Interbank Payment System does not pose an immediate threat to the dollar, the US-centric global payment system nor the country’s ability to wage sanctions. But this could change further down the road.