EXCHANGE NEWSWIRE, 12 April 2011
NYX CEO Duncan Niederauer met with shareholders to convince them that the deal with DB1 is superior to that with NDAQ and ICE. Niederauer also stated that “we’re confident by the end of the week they’ll have a much clearer idea of where we’re headed” and that he believes the originally announced synergies “were in fact conservative”.
NDAQ and ICE are trying to gain NYX’s shareholders’ support for their takeover bid, as shareholders are seen as the key in winning the next round of the bidding war.
CME Executive Chairman Terry Duffy will appear before the US Senate Banking Committee to discuss concerns that that “CFTC has launched an initiative that will make it more difficult” to achieve the Dodd-Frank Act’s goal of increasing transparency and limiting risk. Duffy also stated that “the needless regulatory obstacles will have an indirect impact on business, and drive capital and jobs to our competitors overseas”.
CME plans to track the benchmark European Brent crude by adding it to the Dow-Jones-UBS Commodity Index basket of 19 futures contracts, which is tracked by $77b in assets. This could shift more oil trading volume away from CME’s benchmark WTI crude to Brent.
DB1: ISE launched trading of 10 option contracts on its new Optimise high-volume trading platform. Trading of all options is expected to be migrated to the new system by end-July.
DB1 improved its IT network between London and DB1’s trading platforms in Frankfurt. The new deployed 10 Gigabit data links now deliver the lowest currently possible latency of 4.33 milliseconds for London’s trading community.
LSE: Turquoise Derivatives will start trading in FTSE 100 futures in the first week of June, pending FSA approval. It will be Europe’s first market to employ a “maker/taker” tariff model, offering a GBp5 per contract rebate for passive flow and charging GBp20 per contract fee for aggressive flow. Turquoise will also be the first to cap charges on OTC block trades in index futures products, and to reduce pre-contract clearing costs which will be a third lower than competitors’.
Liquidnet is in talks with several Asian stock exchanges about potential partnerships. Managing director Lee Porter said that “organic growth is going to be hard for these exchanges, particularly on the equity side”, and that partnerships on the other hand, “if they’re structured correctly, can be really powerful”. Liquidnet already signed a link-up agreement with Swiss Exchange, and is scheduled to be launched in 2Q 2011.
Bursa Malaysia will implement validity-of-order throughout the day starting from April 18, which will replace the current Session Order. This move is aimed at increasing efficiency and ensuring no loss of order priority.
SMX will start trading cash-settled gold, silver and copper futures contracts denominated in USD from April 15. Contract sizes will be available in 100 troy ounces, 5,000 troy ounces and 5 metric tons (MT) respectively.
Pipeline Financial Group will launch its Block Board MTF platform at the end of May in Pipeline’s 14 current European markets. Pipeline is giving all clients the opportunity to participate in a liquidity program which offers clients discounted fees in return for executable orders, regardless of price, size or “maker/taker” status.
FXCM: Law firm Morgan and Morgan Business Trial Group drop their class action suit against FXDD. There is no confirmation yet if the class action against FXCM was dropped as well.
JNS was upgraded to “Outperform” from “Market Perform” at Wells Fargo. Target price range was increased to$14-$15 from $12-$13.
FSA head Lord Turner submitted a paper opposing the plan proposed by Washington and Brussels to introduce position limits on commodities. Turner and the paper’s co-authors, Jon Farrimond and Jonathan Hill, believe the proposals to control prices commodity prices “would not have a meaningful impact”, and “consider the objective of controlling medium-term price movements through financial market regulation alone to be both misaligned and unachievable.”
Provided By: Equity Research Desk, www.erdesk.com
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