June 25 2013

elb2 Last week’s leaks from the EU are correct, the European Commission will not take action against ICE’s acquisition of NYX. Good news for free markets, doubtless it will only rub salt into DB’s wounds that their deal last year was refused by the self-same bodies…

Meanwhile, another highlight is the news that Wiesław Rozłucki has returned to the board of the Warsaw Stock Exchange (WSE or GPW). Brilliant news! The prodigal Father of the market returns! It is thanks to Dr Rozłucki that the exchange was created and placed on its current path to prosperity. His ousting was a dark moment in Polish capital market history.

Here are today’s stories:

Public Markets

ICE Receives European Commission Approval For NYSE Euronext Acquisition press release

PLY: It’s “Game On” or “job over” depending on where you are in the ICE-NYX food chain. Jeff Inc moves a step closer to running NYSE and is now in the big boys league, amongst the 4 at the top of the pyramid alongside CME, DB and HKeX.

The ongoing rationalisation of NYX group and the impending sell-off of Euronext are a step closer. Shareholder value. Shareholder Value. Shareholder Value.

What ICE-NYX Means For CME


PLY: Overall a useful analysis although some of the reasoning is more investment banker nirvana than logical analysis: the endless obsession on merger is typical of lazy thinking in the space. After all, what would CME buy, other than CBOE that might add value right now? Even then CBOE doesn’t add much clearing revenue… Anyway have fun playing with the graphs in this Fisher Price Activity Stock Analyst kit.

HKEx Commodities Strategy, May Increase LME Fees


PLY: An elegant twist in this tail, LME “will not be shy about fee increases” is reported…

LME-SFE To Fight It Out In Chinese Metal Futures Market


PLY: That’s Shanghai FE and not Sydney for those who recall old acronyms… The battle lines are being drawn as HKeX tries to defeat the major Chinese metals exchange followings its LME purchase.

Private Markets

Istanbul Exchange To Choose Partner In Q3 Before Listing


PLY: The (why? why? why?) issue of a partner bourse has already been noted as looming on these pages while the listing confirmation in early 2016 is new. Istanbul has one very useful negotiation going: with Euroclear to allow international investors to more easily settle debt. if there is a Euroclear service agreement afoot, does this exclude DB/Clearstream from being one of the negotiating partner exchanges?

Indian & Universal Commodity Exchanges In Merger Talks

Economic Times

Universal Commodity Exchange, promoted by Commex Technology, owned by IT entrepreneur Ketan Sheth, is learnt to have called on R-ADA, anchor investor through Reliance Exchange Next, in loss-making Indian Commodity Exchange (ICEX), for a possible merger.

Malaysia Pushes Ahead For Mercantile Exchange

Free Malaysia Today

The proposed mercantile exchange for Malaysia is still in the pipeline, undeterred by the recent collapse of the Hong Kong Mercantile Exchange (HKMEx) that began two years ago.

First Malaysia dotted the horizon with exchanges in the early 1990’s then it merged them all and now it seems a new Mercantile Exchange is back on the horizon. Provided they don’t have the lavish cost base of HKMEX they ought to have a sound chance of success.

Growing Pains For MILA


The leaders of stock exchanges in Chile, Colombia and Peru clamored on Monday to tell investors that buying shares in the region was getting easier because of their two-year-old market integration efforts, although tax and tariff differences remain.

Zambia’s Bond Exchange Plans New Market To Rival Lusaka Bourse


Zambia’s Bond and Derivatives Exchange, plans to open a second Badex debt-trading platform in Africa’s biggest copper producer by February to rival the Lusaka Stock Exchange. There will also be Kwacha-dollar currency futures will offer an exchange-risk hedge after a law requiring companies exporting goods or services to trade in kwacha came into effect in May 2012.


Deutsche Börse Launches New Brand IT Architecture

Automated Trader

Deutsche Börse Group has launched “7 Market Technology” series; a new brand architecture for its IT offering.

At present, the 7 Market Technology series comprises T7 and C7. T7 is the brand for the derivatives trading architecture currently used by Eurex & ISE which will soon be deployed by EEX.

The C7 clearing infrastructure is currently being developed by Deutsche Börse IT. Eurex Clearing is the lead user with a launch planned for 2014.


DGCX To List SENSEX Futures For Trading On July 5

DGCX will launch a futures contract based on SENSEX, the blue-chip index of the Bombay Stock Exchange (BSE), July 5th 2013.

DGCX SENSEX Futures will be the first Indian index futures traded in the MENA region. SENSEX tracks 30 of the largest and most heavily traded stocks in India.

Financial Calendar

CBOE Financial Results For The Second Quarter Of 2013 to be announced August 2nd

SGX will Report FY 2013 Results 24 July

Analyst Notes

Goldman Sachs Upgrades CBOE Holdings To “Buy”

Goldman Sachs Upgrades CME Group Rating To “Neutral”

Goldman Sachs Gives Bolsas y Mercados Espanoles, “Hold” Rating

Goldman Sachs Gives NASDAQ OMX Group “Neutral” Rating

Citigroup Increases Charles Schwab Corp. Rating To “Buy”

JP Morgan Cazenove Cuts Betfair Group Price Target To GBP 8.25


Career paths

WSE Changes Supervisory Board

The WSE AGM on June 2013 elected Wiesław Rozłucki and Dariusz Kacprzyk to the Supervisory Board.

PLY: A wise minority shareholder has sensibly sought to return Wiesław Rozłucki to the board of GPW. It was thanks to his efforts that WSE was founded and it was his drive which set the exchange on the path to its current successes. Now we must sincerely hope he will have the ability to stand up to the utterly flawed Vienna merger suggestions which threaten the success of Warsaw as a capital formation marketplace for Poland and the region.

ICE Endex Appoints Chairman & New Supervisory Board Member

Energy exchange ICE Endex, has appointed Jacque Lafond, former President and CEO of Total Gas & Power Ltd as Chairman of the Supervisory Board and Marc M. van ‘t Noordende, CEO, nkt cables Group has been named as an independent member.


Crowdfunding vs. Seed Funding: All Money Is Not Created Equal


PLY: a useful review of the crowdfunding versus VC issue. Just as television supplanted but did not replace radio, so too VC has a bright future, it just has to make room for the crowd…

Bitcoin Crowdfunding Sites Find Funding Difficult


Could bitcoin be a suitable vehicle for crowdfunding?

PLY: A brief review of Bitcoin and crowdfunding – doesn’t mention the innate volatility of Bitcoin itself perhaps being a stumbling block for funding when projects are open for weeks, or months…

Other stories

CFTC Seeks Deeper View Of Liquidity Provided By High-Frequency Traders


PLY: Bart Chilton is concerned that all liquidity is not created equal…

This site is protected by Comment SPAM Wiper.