Tag: Markets

NCDEX arm, IME ink deal to develop joint trading platform

AHMEDABAD, NOVEMBER 1:   The Iranian Mercantile Exchange (IME) and NCDEX e-Markets Limited (NeML), an NCDEX group company, have inked a memorandum of understanding to develop a joint trading platform for commodities trade between India and Iran. The agreement is aimed at creating a joint e-trading platform for the trading of commodities from Iran to India and vice-versa. The trading platform will begin its operation with spot trading of bitumen, an industrial commodity, from Iran to India. Going forward, a futures contract for bitumen will also be developed. Also, other commodities such as soyabean, maize and rice have huge scope of... continue reading

Fees on OTC trade that use LME prices could be postponed

LONDON (Reuters) – The London Metal Exchange could defer its plans to charge fees on over-the counter contracts that reference LME prices because many of its members are on deadlines to get their systems ready for new European Union rules. The 140-year-old exchange announced last month it would start charging a new OTC fee in January balanced by cuts of other fees crucial to its physical user base designed to lure back volumes.  The Markets in Financial Instruments Directive (MiFID II) that comes into force in January 2018 across the EU, aims to apply lessons from the 2007-09 financial crisis... continue reading

As robots invade Wall Street, slow-footed regulators lose ground

The technologies revolutionizing Wall Street have left Washington regulators playing a perpetual game of catch up. Traders used to leave paper trails when they broke the law — emails revealing that they had inside information about a company’s earnings, instant messages laying out a conspiracy to manipulate prices or phone recordings discussing an illegal hot tip. Now government watchdogs have to figure out how to look under the hood of machines running lightening-fast algorithms or machine-learning software. The danger is that cheaters will be able to hide abuses or will accidentally turn a software glitch into a market meltdown. And... continue reading

Drillinginfo Positioned to Reduce Subjective Biases in Energy Decisions & Revolutionize World Trading Markets

Austin, TX (Oct.4, 2017) – Drillinginfo, the energy industry’s leading SaaS and data analytics company, announced today it has acquired London-based DataGenic, a global leader in software solutions for enterprise data management and business process automation. DataGenic services oil, gas, power, commercial and industrial clients globally and specializes in data-agnostic technologies and complex forward-curve construction. The power of data has changed the world, but also brought unintended consequences with it. Nearly every industry worldwide has seen an explosion in data use, but most struggle in how to fully interpret and utilize it, creating a need for effective data management tools... continue reading

Chinese Economy Has ‘Darker Story’ Ahead, China Beige Book Says

BLOOMBERG NEWS – The world’s second-largest economy keeps on delivering positive surprises this year, such as a leap in industrial profits last month. That isn’t stopping worries gathering that 2018 won’t be as bright for China.  Industrial profits increased 24 percent in August from a year earlier, the most in four years, compared with the 16.5 percent pace a month earlier, the statistics bureau said Wednesday. A satellite-image gauge of manufacturing facilities showed activity was the strongest in six months, and sentiment in the steel industry is at a 12-month high. International investors are also more bullish on the Chinese... continue reading

Electric-Car Revolution Shakes Up the Biggest Metals Markets

(Bloomberg) by Mark Burton and Eddie Van Der Walt – The revolution in electric vehicles set to upturn industries from energy to infrastructure is also creating winners and losers within the world’s biggest metals markets. While some of the largest diversified miners like Glencore Plc argue fossil fuels such as coal and oil still play a crucial role supplying energy needs, they’ll also benefit the most from a move to electric cars, requiring more cobalt, lithium, copper, aluminum and nickel. The outlook for greener transportation got a boost this year as the U.K. joined France and Norway in saying it... continue reading

Malaysia’s Petronas halts $29 billion western Canadian LNG project

CALGARY, Alberta (Reuters) by Nia Williams and Ethan Lou – Malaysian state-owned energy company Petronas [PETR.UL] will not proceed with a proposed C$36 billion ($28.8 billion) liquefied natural gas (LNG) project in western Canada because of weak global prices, the company said on Tuesday. The cancellation is a heavy blow to Canada’s ambitions to become a global LNG player and to the regional economy, although many industry observers said it was not unexpected given years of delay to the huge project near Prince Rupert in the north of the province. It is also the latest setback for the country’s energy industry,... continue reading

ICE to sell Trayport after losing UK competition watchdog appeal

By John McCrank Intercontinental Exchange Inc (ICE.N) said it will sell energy trading software firm Trayport after losing an appeal of a decision by Britain’s competition watchdog calling for the divestment to preserve competition in the utility derivatives trading industry. The Competition and Markets Authority said on Friday that ICE’s control of Trayport, which the exchange and clearinghouse operator bought in late 2015 for $650 million in stock, would result in a “substantial lessening of competition” in two markets. The CMA said the only effective remedy would be the total divestiture of Trayport by ICE. ICE said it was “disappointed”... continue reading

ANZ Suffered ‘Substantial Losses’ in Alleged Nickel Receipt Scam

By Emily Cadman and Mark Burton Australia & New Zealand Banking Group Ltd. told a U.S. court that its commodities trading arm suffered “substantial losses” after it discovered that receipts for metal held in Glencore Plc’s Access World warehouses are probably fake. When ANZ looked into selling the nickel, it discovered 83 out of 84 receipts it held were likely forgeries, the Australian lender said in a June 6 petition filed in a U.S. court in San Francisco. It’s part of a request for information the bank could use in lawsuits in other jurisdictions. ANZ has hired lawyers in the... continue reading

Reuters Exclusive: London Metal Exchange to cut fees, see if volumes can be lured back – sources

By Pratima Desai | LONDON The London Metal Exchange is expected to cut trading fees within months after two years of complaints but might only do so for a trial period of up to six months to see if volumes that moved to over-the-counter markets return to the exchange, sources said. A 31 percent average fee hike in January 2015 is cited by metal industry sources as a major reason behind tumbling LME volumes. Three metal industry sources said cutting the fees would be the result of a discussion paper on market structure launched by the exchange in April. Responses... continue reading

U.S. shale firms more exposed to falling oil prices as hedges expire

By Catherine Ngai and Swetha Gopinath Cash-strapped U.S. shale firms scaled back their hedging programs in the first quarter, leaving them more vulnerable to tumbling spot market prices just after OPEC reached a landmark deal to curb global supply. The pullback in hedging was driven by rising service costs and expectations that prices would continue to rally after the Organization of the Petroleum Exporting Countries extended those cuts in May, analysts said. However, rising U.S. production has stymied OPEC’s efforts to rebalance markets. Crude oil futures LCOc1 have lost 15 percent of their value since February, raising the risk that... continue reading

Vattenfall collaborates on pan-European blockchain energy trading trial

By Liam Stoker Swedish state-owned energy company Vattenfall is to collaborate with 22 other European energy trading firms to launch a blockchain-based pilot. Should the project prove successful it would become the world’s first blockchain-based trading system for wholesale energy. Vattenfall’s Business Area Markets division will conduct the pilot in order to deepen its understanding of the technology and conclude whether or not such a decentralised solution could match its existing trading platforms while simultaneously reducing cost. What is blockchain? A blockchain is a database that exists on a peer-to-peer network capable of collating a list of records or transactions,... continue reading

FIS to Sell Majority Interest in Capco Consulting Business to Clayton, Dubilier & Rice

JACKSONVILLE, Fla., and NEW YORK, NY, May 23, 2017 – FIS™ (NYSE: FIS), a global leader in financial services technology, and Clayton, Dubilier & Rice (CD&R) today announced a definitive agreement in which FIS will sell a majority ownership stake in Capco to CD&R, establishing Capco as an independent company. FIS will sell approximately 60 percent equity interest in its Capco business to CD&R funds and receive net cash proceeds of $477 million. Upon closing, FIS will also retain approximately 40 percent equity interest in the business. The transaction, which includes other consulting-related assets, is expected to close by early... continue reading

RPT-Commodity traders, banks face hard realities with game-changing blockchain

By Eric Onstad LONDON, May 22 Alistair Cross was flying high after showing in a pilot project how blockchain – the technology first developed for the crypto-currency bitcoin – could transform the old-fashioned and secretive world of commodity trading. But since the pilot ran early this year, Cross and his rivals have hit some hard realities as they try to propel their industry into the digital age at last. Word spread fast through the business when Mercuria, the Swiss-based commodities house where Cross is head of operations, successfully tested an oil trade. “The number of phone calls I’ve had from... continue reading

Huge crops, record storage signaling more woes for grain merchants

By Karl Plume | CHICAGO In the face of a global grain glut that is crushing profits and raising questions about their long-term prospects, the world’s big grain merchants maintain they need only a drought or other supply shock to return to the riches of the past. But a two-day rout on Wall Street for two of the industry’s biggest firms – Archer Daniels Midland Co and Bunge Ltd – underscores concerns that poor recent profits may be more than just a leg of a cyclical downturn and instead point to fundamental change. ADM on Tuesday warned investors that it... continue reading

Is Coal Now on Life Support?

I noticed that yesterday, a number of US-based news outlets picked up on some European news around Coal. A couple of weeks ago, and without much fanfare, at least here in Europe, Eurelectric’s 3500 members agreed to not invest in new coal plants after 2020 (Polish and Greek members did not support this). The UK and France are already engaged in a movement from coal for power generation and have committed to eliminate coal-fired generation. Others may follow. What was really quite interesting was that on April 22, the UK had its first coal-free day in generation for 135-years. Something... continue reading