iStock_000005765286XSmallEXCHANGE NEWSWIRE, 21 September 2011

CME managing director and president Kim Taylor commented the CFTC’s proposals aimed at protecting clearing house funds on the default of a clearing member are flawed, and that “losses associated with current day’s mark-to-market process, according to the CFTC’s proposal, are actually mutualizable among customers. Basically it doesn’t provide the protection to customers they think they are getting.”

ICE announced plans to start formal consultation on the Brent oil market, after oil price assessment firm Platts said last week that its aims to change the way it calculates the Brent pricing benchmark.

NYX: NYSE Technologies and MDX Technology formed an alliance to provide a new data analysis tool, MDXT ConnectExcel, which allows traders to stream and analyze real-time normalized market data directly in Microsoft Excel 2010. The tool also allows for subscription and publication of data via NYSE Technologies Middleware Agnostic Messaging API (MAMA) platform.

MICEX-RTS merger: MICEX Group CEO Ruben Aganbegyan said that the combined entity aims to be a global player and will be open to future deals from some of the world’s largest entities, according to Market Watch. RTS CEO Roman Goryunov also said that the merged entity’s IPO, which is scheduled to be sometime in 2013, is expected to raise at least US$300m.

HKEx appointed Richard Leung, current chief technology officer of Chi-X Global, to be senior vice-president and to co-head HKEx’s IT division in order to develop a new market data and securities trading system. Current co-head of the IT Division, Roger Lee, will become head of HKEx’s listings division from January, and will also lead an internal team developing the data centre.

TSE officials said the exchange expects to complete the migration of derivatives trading to its new Tdex+ platform by November 21, moving “from an auction model in futures trading to a market-making model”. TSE will also extend the morning trading session by another 30 minutes starting November 21. The session will run from 9am to 11.30am local time, while the afternoon session will run from 12.30pm to 3pm local time.

International Swaps and Derivatives Association (ISDA) held a conference in which some of the panelists said that CCP interoperability will not resolve fragmentation in the OTC markets. SwapClear CEO Michael Davie said that “it could increase the risk, because in the event of a default, you are unlikely to see harmonization and co-operation among very disparate CCPs operating under very different regulatory regimes.” Another concern was that CCP interoperability would mean clearing members and clients might be exposed to entities they may specifically have chosen to avoid.

 

Provided By: Equity Research Desk, www.erdesk.com

 

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