August 5, 2005
Lead Stories
Making the big trade-off
Technology kills much of the agony -- and the joy -- of being a floor broker
Jenny Strasburg, Chronicle Staff Writer
After 29 years at
http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2005/08/05/BUGKBDQGHQ34.DTL
RHS graduate returns with political ties
While in school, Walter Lukken participated in Student Congress; now, he's on Capitol Hill
A few weeks ago, Walter Lukken's 20-year high school reunion brought him back to see old friends, visit
Then he returned to
http://www.pal-item.com/apps/pbcs.dll/article?AID=/20050804/NEWS01/508040311/1008
KCBT Wheat Futures Set New Open Interest Record
KCBT wheat futures open interest sets new record, tops 92,000
http://www.kcbot.com/news_2.asp?id=302&home=1
NYSE to List the First Two Style-Based International ETFs in the
http://www.nyse.com/press/1123238648204.html
NYSE undertakes review of VWAP trading
NEW YORK, Aug 4 (Reuters) - The New York Stock Exchange's regulatory division is undertaking a review of VWAP trading -- a complex electronic method of trading using algorithms -- by member firms, it said on Thursday. Robert Marchman, executive vice president of market surveillance at the NYSE, sent a memo to trading desks and compliance directors at NYSE member organizations dated Monday, alerting them that they have an obligation "to execute customer VWAP orders in a manner that does not compromise the customer's interests."
SEC Delays Sub-Penny Rule Until January 2006
The Securities and Exchange Commission (SEC) extended the compliance date for the Sub-Penny Rule under Regulation NMS (Reg NMS) until Jan. 31, 2006. The previous compliance date -- Aug. 29, 2005 -- is less than one month away, the SEC noted in a release announcing the change. The SEC said an extension of the compliance data will provide market participants with additional time to address issues related to compliance with Rule 612, make necessary systems changes and resolve implementation issues. Firms also will have time to "ascertain what systems and other changes are necessary to comply with the rule, and develop, implement and test those changes," the SEC release noted.
http://www.wallstreetandtech.com/showArticle.jhtml?articleID=167100990#_
Board of Nymex looks over offers
By Kevin Morrison
Nymex is reviewing offers from private equity groups Blackstone and General Atlantic to buy a 20 per cent stake in the...
http://news.ft.com/cms/s/3dd40032-054e-11da-97da-00000e2511c8.html
CBOT Reparat Sonitem
For whom the jackpot tolls, that is the question.
Environmental Trading News
(Montel Powernews) ECX clearly no.1
The European carbon market has been hot this summer. Not only has volatility been high, but traded volumes have also been hitting new records in the summer months.
http://www.europeanclimateexchange.com/pages/page280.php
Energy investments lure hordes of newcomers
http://www.iowafarmbureau.com/newsissues/media/fullarticle.aspx?artid=22452
Exchange & ECN News
CHICAGO MERCANTILE EXCHANGE HOLDINGS INC Files SEC form 10-Q, Quarterly Report
http://biz.yahoo.com/e/050804/cme10-q.html
eSpeed Reports Second Quarter 2005 Results
http://www.espeed.com/articles/article20050408.html
ESpeed falls to second-quarter loss
http://www.businessweek.com/ap/financialnews/D8BP9J2G1.htm?campaign_id=apn_home_down&chan=db
CBOT Strike Price Notice August 5, 2005
http://www.cbot.com/cbot/pub/cont_detail/0,3206,1032+29789,00.html
http://www.cbot.com/cbot/pub/cont_detail/0,3206,1032+29790,00.html
New Cash with Interest Program (IEF5) Provider
http://www.cme.com/clearing/clr/clradv/14643.html
CME Auction Markets: Initial New Products Effective 09/29/05
http://www.cme.com/clearing/clr/npadv/14636.html
REVISED NOTICE 04-391 — Exchange Eliminates Fees for Financial Power Contracts
http://www.nymex.com/notice_to_member.aspx?id=ntm315&archive=2005
Amendments to COMEX Division Rule 104.36, Exchanges for Physicals
http://www.nymex.com/notice_to_member.aspx?id=ntm312&archive=2005
Additional Public Member on the Adjudication Committee Panels
http://www.nymex.com/notice_to_member.aspx?id=ntm302&archive=2005
Expert Commission, Indices Committee
http://www.euronext.com/news/press_releases/0,4159,1732_8275,00.html
Program Trading Averaged 53.6 Percent of NYSE Volume during July 25-29
http://www.nyse.com/press/1123151790041.html
Directors Herbert M. Allison, Jr. and Dennis Weatherstone Step Down From
http://www.nyse.com/press/1123151791068.html
Two NYSE directors resign from exchange
Two New York Stock Exchange directors stepped down from the Big Board, which is merging with a rival electronic exchange to become a publicly traded company.
According to the NYSE, Herbert Allison Jr. and Dennis Weatherstone told the exchange in April that they were not interested in being re-elected but would stay on through “key decision making” on the merger.
http://www.newyorkbusiness.com/news.cms?id=11329
JMG EXPLORATION, INC. COMMENCES TRADING ON ArcaEx®, Archipelago ExchangeSM (ArcaEx®) Announces Initial Public Offering and Exclusive Listing of JMG
http://investor.archipelago.com/phoenix.zhtml?c=140290&p=irol-newsArticle&ID=740109&highlight=
Trading Starts 15 Minutes Earlier on 12 August 2005 [August 5,2005]
http://www.tfx.co.jp/en/newsfile/05/20050812gdp_e.html
Monthly Trading Volume & Value
http://www.tse.or.jp/english/data/v_and_v/index.html
PHLX Announces July Volume
http://www.phlx.com/news/pr2005/05pr080405.htm
PHLX Creates Sector Index Licence Program for OTC Structured Products
http://www.phlx.com/news/pr2005/05pr080405a.htm
NASDAQ Changes Status of Host America Corporation and Requests Additional Information From Company
http://www.nasdaq.com/newsroom/news/pr2005/ne_section05_076.stm
HKEx Exchange Participants Statistics On-Floor And Off-floor Trading Statistics - Transaction In Terms Of Turnover And Number of Trades Conducted On-floor And Off-floor
http://www.exchange-handbook.co.uk/news_story.cfm?id=54341
SGX Sets S$300M As Base For New Listings
(Dow Jones)--The Singapore Exchange (S68.SG) has set a base guideline of S$300 million in market capitalization for companies seeking to list, the Business Times reports. "To attract institutional interest, companies have realistically to be reasonably big," head of listings David Tan told the newspaper. Most new listings have
http://au.biz.yahoo.com/050803/18/6twr.html
Regulatory News
The SEC News Digest
The SEC News Digest provides daily information on recent Commission actions, including enforcement proceedings, rule filings, policy statements, and upcoming Commission meetings.
http://www.sec.gov/news/digest/dig080405.txt
CFTC Weekly Advisory
http://www.cftc.gov/opa/adv05/opawa32-05.htm
SEC Announces Settlement with College Savings Plan for Untrue Statements and Omissions
http://www.sec.gov/news/press/2005-108.htm
Notices served on brokers involved in wash sales
ISLAMABAD (August 05 2005): On the recommendation of the Task Force probing stock market crash, the Securities and Exchange Commission of Pakistan (SECP) has served show-cause notices on individuals allegedly involved in "insider trading" and wash sales.
http://www.brecorder.com/index.php?id=308179&currPageNo=1&query=&search=&term=&supDate=
Ex-Fidelity Trader May Face Charges
http://online.wsj.com/article/0,,SB112320836249505800,00.html?mod=home_whats_news_us
**** Online WSJ subscription required.
Speculation Over: Cox 'Investor Friendly'
New SEC Chairman Christopher Cox has made it perfectly clear: He's investor friendly. In his opening remarks to the commission, after being sworn in yesterday, Cox said he "enjoyed the speculation" over what side he would favor, but told the SEC audience, "We are the investor's advocate," pledging to be a "relentless, powerful adversary" when necessary.
http://www.institutionalinvestor.com/default.asp?page=1&SID=568634&ISS=18622&type=13
SEC chief vows to be 'relentless' ally to investors
Seeking to allay concerns that he'd be overly friendly to big business, the new chairman of the Securities and Exchange Commission told staffers Thursday that he was fully committed to the SEC's historic mandate of representing the interests of investors.
Managed Futures - Managed Funds
When hedge funds lend a hand to buyout shops
Doesn't Anyone Want to Manage Harvard's Money?
http://www.nytimes.com/2005/08/05/business/05fund.html
Reports
Bond Talk Today's Events
http://www.bondtalk.com/global.cfm?S=todaysevents
USDA Today
http://www.usda.gov/nass/PUBS/TODAYRPT/TODAY.HTM
Miscellaneous News
Broker productivity increased in 2004: report
Average client’s portfolio outpaced Dow, Nasdaq
http://www.investmentexecutive.com/client/en/News/DetailNews.asp?Id=29941&IdSection=5&cat=5
Trading Technologies to drop suit against FFastFill
CDO business bad as tight spreads crimp returns
LONDON, Aug 4 (Reuters) - Sales of collateralised debt obligations (CDOs), the derivatives at the centre of recent concerns over credit market stability, have slowed to a trickle, bankers say, as low returns dampen investor demand for the complex products.
SIA Report Shows Average Investor's Account Value Increases And Fee-Based Accounts Remain Popular
http://www.sia.com/press/2005_press_releases/04678553.html
Industry Congratulates Cox
http://www.sia.com/press/2005_press_releases/04669025.html
Board Slowly Faced Its Purcell Problem
Interviews with directors, investors and others reveal a Morgan Stanley board that slowly faced the extent of former CEO Purcell's unpopularity. The tale serves as a caution for boards in an era when their role in corporate governance is drawing more scrutiny.
http://online.wsj.com/article/0,,SB112320518805705748,00.html?mod=home%5Fpage%5Fone%5Fus
**** Online WSJ subscription required.
American Expat Leads XFN In Series Of Firsts
Fredy Bush has been slowly building a media empire the size of
http://www.institutionalinvestor.com/default.asp?page=1&SID=568673&ISS=18622&type=7
FIA
http://www.futuresindustry.org/fiachica-2577.asp
FIA
http://www.futuresindustry.org/fiaasiad-2560.asp
Operational Risk - Safety and Security of Internet Banking Have Declined Dramatically Since 2003
http://www.garp.com/risknews/newsfeed.asp?Category=6&MyFile=2005-08-05-11265.html
Ameritrade COO Peter Ricketts Resigns
Ameritrade Holding's Corp.'s chief operating officer resigned his post with the online brokerage on Thursday, saying he will explore an opportunity in public service.
http://news.yahoo.com/news?tmpl=story&u=/ap/20050804/ap_on_bi_ge/ameritrade_ricketts_1
`Farmers will benefit the most`
With 70 per cent of the population in rural areas, it’s obvious that commodity exchanges will affect a lot more lives than the stock market. Jignesh Shah, managing director of the 21-month old multi-commodity exchange MCX talks to Business Standard on its impact.
John's Comments
CME FX Tagline
Please check out our new Equivalents page with European Style options
http://equivalentsrdc.cme.com:443/index_XT.html
*********
FOWeek Headlines Issue 1031 08-Aug-2005
• General Atlantic offer is Nymex board favourite
• RCG strikes back as TT patent cases multiply
• Analysis: Options industry shifting gears
• Analysis:
• Long bond back in business
• Patsystems acquires systems provider, posts first profit
• Refco TS and Saxon open for business in
• CFTC chairman sworn in
• CME allies with Synthesis, adds Euro inflation
• GFI acquires Tullett’s Asian FX options team
***********
H&R Block to pay $220M for American Express unit
H&R Block said it has agreed to buy the tax and business services unit of American Express for $220 million.
http://www.bizjournals.com/southflorida/stories/2005/08/01/daily25.html?from_rss=1
H&R Block buys American Express tax unit
H&R Block Inc. , the largest
http://news.yahoo.com/news?tmpl=story&u=/nm/20050801/bs_nm/financial_americanexpress_dc_2
***** American Express Tax & Business Services is being acquired by H&R Block. This is a unit that provides many different services to traders and brokerage firms.
********
Brent Crude Watch
IPE Brent Volume: 110,358
NYMEX Brent Crude Volume: 2538
NYMEX Percent of Total Volume: 2.25%
********
Percent Electronic
CBOT: 51.68%
CME: 60.90%
CME Eurodollars: 70.45%
CME Live Cattle: 2.29%
CME Currency Products: 79.22%
CBOT Soybeans: 7.30%
CBOT Options: 7.30%
CME Options: 6.03%
Volume
OneChicago Volume: 1956
Eurex
Euronext.liffe Eurodollar Volume: 3621
CBOE Futures Exchange Volume: 426
Market Share
CBOT 100 oz. Gold Volume: 1092
NYMEX 100 oz. Gold Volume: 70,260
CBOT Share: 1.53%
CBOT 5000 oz. Silver Volume: 129
NYMEX 5000 oz. Silver Volume: 20,700
CBOT Share: .62%
CBOT Mini Gold Volume: 731
CBOT Mini Silver Volume: 522
Notes: CBOT soybeans traded a recent low of 47,957 contracts yesterday.
Liffe Eurodollar Over-Under
Liffe/Globex: .57%
Liffe/CME: .40%
Regards,
John J. Lothian
Publisher
John Lothian Newsletter
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