EXCHANGE NEWSWIRE, October 25, 2012
CME reported 3Q12 adj. EPS of $0.70 (-26% y/y), 2c above our estimate and in line with the consensus estimate. The difference can be explained by lower professional fees and higher investment income. CME guided 4Q12 expense guidance to $300m-$305m and FY12 CapEx to be $140m-$145m.
Nord Pool Spot AS exchange stated that the proposed regulatory changes to the Nordic electricity market are not required, as “the Norwegian and Nordic markets work well, using a model that has been set up and adjusted over several years, and which offers a liquid and robust market. The Nordic power regulator NVE had proposed that the region implement smaller price zones, possibly with separate values for each power plant or river system, Bloomberg reported.
NDAQ CEO Robert Greifeld said that HFT only made up around $50m in NDAQ’s revenues, and “it’s not that big a piece of our business.” Greifeld also said that he believes that HFT adds liquidity to the market, but should regulations in US or Europe reduce HFT activity by 15% or 20%, “that is not material to us”, as quoted in Bloomberg.
NYSE Technologies expanded its FIX capabilities with the addition of the Appia Business Center, which will allows users to build, maintain and monitor their FIX infrastructure, communicate with new matching engines, or implement new rules.
ASX opposed ASIC’s clearing competition proposal, using the national interest argument, the Trade News reported. ASX also said that a full investigation reviewing whether public interest has been considered, including a cost-benefit analysis, should be undertaken before a decision can be made on allowing competition in clearing.
Knight Capital CEO Tom Joyce may be considering other job opportunities, including the position of CEO at E*Trade Financial, according to WSJ sources. Joyce’s contract expires at year-end and has yet to be renewed.
Knight Capital: Head of Knight Capital’s subsidiary Knight Direct, Bradley Duke, left the firm without any direct replacement, the Trade News reported. Duke joined the firm in July 2008 with the initial position as head of institutional electronic sales in the region.
Vega-Chi launched its buy-side only trading platform for US high-yield and distressed fixed income products, and has more than 40 clients supporting the venue.
FINRA is investigating conflicts of interest at 14 US brokerages, with the aim of providing guidance and keeping conflicts of interest in check, Thomson Reuters reported. In particular, FINRA wants to know the procedures and controls brokerages use to ensure brokers do not just sell products which “pay them out the most”.
Germany and Greece sold a total of 1.35m EU carbon permits in auctions, Bloomberg reported. Germany sold 850k permits for December at EUR 7.72 per metric ton on the European Energy Exchange, and Greece sold 500k spot permits at EUR 7.69 per ton on the Athex exchange.
ISDA supported a new US swaps clearing connectivity standard (CCS), and will provide program management, governance and industry oversight for the service, the Trade News reported. CCS is a standardized connectivity format which allows the simplified reporting of cleared OTC derivatives through integrated data systems, and has been adopted by 12 buy-side and sell-side firms. More firms are expected to adopt the service in 2013.
