Markets News 

China central bank injects 200 billion yuan to boost liquidity, keeps rate unchanged

“SHANGHAI (Reuters) – China’s central bank extended 200 billion yuan ($28.60 billion) through its medium-term lending facility on Friday, the second time it has done so this month, while keeping the lending rate unchanged” writes Midwest Communications Inc for 95kqds.com. The move to add long-term funds caught the market off guard as the central bank had already injected funds last week.Last week, the central bank cut the interest rate on MLF loans for the first time since February 2016, but only by a marginal 5 basis points. The central bank…

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Markets News 

In swaps we trust? Disappearing dollars drive currency trading dependence

“It affected us in the FX swaps market a great deal” writes Midwest Communications Inc for 95kqds.com. LONDON (Reuters) – As dollars dry up, global finance is growing increasingly dependent on opaque currency trading to keep cash flowing.Reflecting the increased reliance on currency markets to borrow dollars, FX swap volumes have grown to represent 49% of total currency trading, from 42% in 2013, Bank for International Settlements (BIS) figures from August show.”We have dollar liquidity that partly depends on (the) forex swap market, as we don’t have dollar deposits.Unlike regular…

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Crypto News Platforms 

Crypto.com Launches New Exchange Eyeing Top-10 Spot Within 5 Years

“Hong Kong-based cryptocurrency platform, Crypto.com, announced the launch of its cryptocurrency exchange on Nov. 14” writes Rachel Wolfson for cointelegraph.com. Notable features of the Crypto.com Exchange include liquidity, competitive trading fees, institutional-grade custody and security, and intuitive experience through what Crypto.com says is a very easy-to-use interface.Moreover, to increase the liquidity of the CRO coin before the mainnet launch, it will be paired with all coins listed on the Crypto.com Exchange.While the Crypto.com exchange will initially support popular cryptocurrencies including Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Litecoin (LTC), EOS, XLM,…

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News Stocks 

Newspaper publisher McClatchy warns of ‘liquidity challenge’

“Revenue fell 12% to $167.4 million, as advertising revenue declined 19% to $76.8 million and audience revenue dropped 6.8% to $78.3 million” writes Reporter Editor for marketwatch.com. Shares of McClatchy Co. sank Wednesday, after the publisher of local newspapers warned that it faced a “liquidity challenge” next year following an unfavorable ruling associated with required contributions to its under-funded pension plan.The amount due “greatly exceeds” anticipated cash balances and cash flow, creating “a significant liquidity challenge” for next year. Source: marketwatch.com

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Crypto News 

CoinMarketCap Now Provides Crypto Investors With Data on Liquidity

“Leading crypto data site CoinMarketCap has announced the launch of its new metric to compare exchanges and token pairs based on liquidity” writes unknown author for cointelegraph.com. Intending to filter out market manipulation, CoinMarketCap will reportedly base the new liquidity metric on adaptive data.In July, CoinMarketCap, alongside crypto news outlet Crypto Briefing, launched a new institutional-grade analysis product called Simetri. The product aims to provide verification and transparency in order-book data from crypto exchanges. Source: cointelegraph.com

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Crypto News 

Could Blockchain Technology Prevent the Next Financial Crisis?

“There is a necessary balance to strike as we transfer from the flawed financial system of today to the more technological, decentralized system underpinned by blockchain” writes Stephen King for cointelegraph.com. A central bank’s role is to manage a nation’s currency, money supply and interest rates.Before the 2007 crisis, regulators could trust that banks had enough liquidity to remain solvent; however, following the financial crisis and failure of several banks like Lehman, that ceased to be the case.In 2007, we saw first-hand that when liquidity dries up, banks fail, markets…

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News Regulators 

Mnuchin Open to Looser Rules to Ease Cash Crunch…

“(Bloomberg) — U.S. Treasury Secretary Steven Mnuchin is open to loosening financial crisis-era regulations that have stiffened liquidity rules for big banks to relieve possible cash crunches in short-term funding markets” writes Saleha Mohsin for yahoo.com. There may be a way around current regulations that creates more intra-day liquidity without raising risks, according to Mnuchin.President Donald Trump has repeatedly vowed to loosen the leash on Wall Street, but some of regulators’ most meaningful efforts to revamp post-crisis constraints on big banks have run into problems.The dysfunction has kept the U.S.…

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News 

Sigma Capital sees CBE cutting reserve requirement from 14% to 10% again

“The company expected this percentage to decline to 10% from 14% currently, pointing out that this step leads to an increase in money supply by about EGP 70bn” writes Hossam Mounir for dailynewssegypt.com. According to a report by Sigma Capital, inflation reached its lowest level since August 2015, at 4.3%, which makes the CBE need to use the reserve ratio tool to increase the money supply in the economy.This increase was in October 2017, to reduce the money supply in the economy to maintain the inflation rate, which was at…

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Markets News 

Warren says big banks may use repo-market volatility to get rid of liquidity rules they despise

“There could be a larger financial crisis if the liquidity measures are not stream-lined and better thought out, Dimon warned” writes Senior Economics Reporter for marketwatch.com. JP Morgan Chase JPM, +1.00%   CEO Jamie Dimon last week did tie the spike in repo-market rates to the post-crisis liquidity requirements.She pressed Mnuchin to report back on what caused the spike in short-term lending rates last month and what the implications mean for the markets.She told Mnuchin that the Financial Stability Oversight Council should not go along with the effort to ease…

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Crypto News 

Archax to Provide Liquidity Service to HighCastle

“HighCastle, a share registrar and investment marketplace, has entered into a strategic partnership with Archax to increase the secondary market liquidity of digital securities issued by it, the company announced on Wednesday” writes Arnab Shome for financemagnates.com. HighCastle offers varied services with digital securities including prime issuance, registry, and settlement distribution network known as Primenet.The blockchain network is based on a permissioned consensus mechanism that makes it secure and suitable for investment firms, brokers, and exchanges.It is planning to tokenize all types of assets including equities of private companies, debts,…

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