Day: 1 November 2016

Bats Completes Javelin SEF Acquisition

Bats Global Markets completed its acquisition of Javelin SEF, a swap execution facility (SEF).
The deal was announced on August 11, 2016 and received approval from the Commodity Futures Trading Commission (CFTC) on October 23, 2016.
Javelin has been integrated with Bats Hotspot, the institutional FX trading platform, in order to enable trading in non-deliverable forwards (NDFs). Hotspot already offers trading in outright deliverable forward contracts. Dodd Frank Act provisions mandate that certain market participants have to trade NDFs on SEFs.

Now You See It… Understanding Sterling’s Flash Crash

On October 7, Cable flash crashed in early Asian trading, leading to chaos in the market and an official investigation into events surrounding the move. Colin Lambert takes a look at what happened.

A few minutes into October 7 UK time, at 12.07.03am to where there are grounds to believe that the transaction is be precise, Cable traded through 1.2600 having fallen 30 points in the previous minute. Just 23 seconds later it traded below 1.2200 and 45 seconds later it had traded at 1.1378 on one platform.

Just two minutes later the market was trading back above 1.2100 and just 10 minutes after the initial move, Cable was trading above 1.2400. The market had “flash crashed”.

INTL FCStone Becomes 25th Member of FXPA

The Foreign Exchange Professionals Association (FXPA) has announced INTL FCStone as the newest Supporting Member of the FX trade group, bringing the total number of institutional members to 25.

Edgar Ramon, global head of foreign exchange at INTL FCStone Markets, says: “We are proud to now be an FXPA member firm and to join with other members in education, research, and advocacy initiatives for the foreign exchange industry. As the first non-bank swap dealer, we are intimately familiar with the constantly changing FX landscape, and will leverage our significant knowledge to further the FXPA’s goal of advancing a sound global currency market.