Episode Transcript
[00:00:06] Welcome to the John Lothian News daily Update podcast for May 20, 2024. I'm your host, John Lothian. This podcast is brought to you by John Lothian News the home of markets wiki and markets wiki Education.
[00:00:21] Thank you for joining us. Here are the hits and takes comments from today's JLN today we have part three, the final segment of our open Outcry Traders history project interview with George Hanley. Hanley talks about some of the educational and charitable endeavors he has funded to promote trading, ESG and democracy. He also relates how lucky he has been and why he feels compelled to give back your favorite SEC chairman Gary Gensler gave a speech to the 2024 conference on emerging trends in asset management titled Jack Bogle Haystacks and putting the interests of clients first. I expect his advice in buying the haystack and not looking for the needle is similar to the theme of his book about investing the Great Mutual Fund Trap, an investment recovery plan. There are links to the book in the newsletter. On May 17, 2024, the Chicago Mercantile Exchange and the New York Mercantile Exchange NYMEX announced disciplinary actions against several entities for violations of rule 534, which prohibits wash trades. Tanner Dilelo, CME 20 316 64 BC, was fined $10,000 and suspended from accessing any trading floor owned or controlled by the CME, as well as from direct and indirect access to any designated contract market, derivatives clearing organization or swap execution facility owned or controlled by CME Group for five business days. Bright Point Capital Pte Limited, NYMEX 20 316 53 BC received a fine of $75,000. Glencore Singapore Pte Limited, NYMEX 22 1588 BC one was ordered to pay a fine of $20,000 and disgorge profits amounting to $15,000. Similarly, Heart Tree Partners Power and Gas Company UK Limited, NYMEX 22 1588 BC Two was fined $20,000 and ordered to disgorge profits of $3,050.
[00:02:59] CBO has a new promotion in London with some Cboe brand cabs. There's a link in today's newsletter. On Sunday, Jamal Cole spoke at my church, St. Peter's United Church of Christ, the founder of my block, my hood, my city, came to my city, Elmhurst, for the first time. He spoke to our social justice committee and others about his work and life and the kids he works with in the city. I was late to the event as I had a graduation party for a former scout of mine at the same time, but I did catch the end of the q and A with Jamal Jamal has been shot twice, once while running on Lakeshore Drive. The bullet just skimmed his skull. The second time was when he was coming out of a school and a car driving by shot at him and hit him in the shoulder. He still has the bullet in his shoulder. He also spoke about how the kids in the neighborhoods in Chicago dont expect to live past 17 or 18.
[00:04:07] He said this is why prom is such a big event. Its like a celebration of living that long. Also, he said death is being marketed to kids as funeral homes have designer fake that is names on coffins and even lights on them to make them look cool. Jamal also said when he was shot at the school he was arrested as there was a warrant for him, but they spelled his name wrong. They forgot the h in it. The dude without the h is a pretty crazy dude, Jamal said. Edie kicks off a week of content and online events dedicated to the circular economy May 20 May 24 during the week, the UK based sustainability publisher will publish two reports focused on the circular economy.
[00:05:01] At the start of the week, Edie will publish an explains guide on everything a business needs to know on the subject. That will be followed by a new blueprint guide explaining how businesses can eliminate single use plastics. Learn more and Register for Ed Circular Economy Week with a link in todays newsletter our most read stories from our previous edition of JLN options were 30 year anniversary of trading technologies from trading technologies via LinkedIn Nasdaq to market new options strike listing tech to other exchanges from waters Technology and ferocious CME copper squeeze presages future turbulence from Reuters. Subscribe to the free JLN Options newsletter with a link in today's JLN. Here are more stories from the first read section of today's GLN. Here's a sponsored content entry from our friends at FTSE. Russell Russell 2000 Index Quarterly chart Book, May 2024 and Rusle reconstitution the Russell 2000 Index provides live index tracking data with historical performance dating back to January 1984. Academic and practitioner research confirms that large cap stocks behave differently, small cap stocks and performance is variable. There are sub periods during which the Russell 1000 outperforms the Russell 2000 and vice versa. Quarterly performance assessments provide valuable data points for understanding market sentiment and us economic activity. View the report with a link in today's newsletter the Russell US indices are designed to reflect the the ever changing us equity market, and the annual reconstitution process is critical to maintaining accurate representation. The schedule for the annual reconstitution of the Russell U. S. Indices suite is set for Friday, June 28. The newly reconstituted indices will take effect after the market closes on the same day, Friday, June 28, 2024. For more information, visit a link in today's newsletter.
[00:07:23] Here's part three of the George Hanley story veteran trader George Hanley reflects on trading career and family legacy in part three of open outcry Traders history project interview in the third installment of the Open Outcry Traders History project interview series, veteran trader George Hanley dives deeper into his trading career, family legacy and the evolution of his trading ventures. Conducted by John Lothianus for the Markets wiki education series, this segment offers a comprehensive look at Hanleys experiences and insights from his time on the trading floors. You can watch this video on johnlothiannews.com.
[00:08:08] heres another story, this one from Bloomberg the headline a 25 year old b of a trader dies suddenly at industry outing Adnan Dumick worked in the bank's markets unit in London. We're shocked by the sudden loss of colleague banks says a 25 year old bank of America Corp. Credit trader died suddenly on Thursday night and then Dumec, a credit portfolio and algorithmic trader, collapsed of a suspected cardiac arrest playing soccer, an industry event, and failed to respond to medical treatment, including CPR, according to a person briefed on the matter. He joined the bank on the global markets team in 2024 after participating in the summer analyst program the previous year. The death of our teammate is a tragedy and we are shocked by the sudden loss of a popular young colleague, a representative of bank of America said in an email statement. We are committed to providing our full support to Adnan's family, his friends and our many employees grieving his loss.
[00:09:23] My comment this is not the expectation at an industry outing.
[00:09:29] Here's another story from Bloomberg. The headline Japan's inexperienced investors fall for scams like babies Japan saw a seven fold increase in money lost in latest quarter. Government to announce measures to counter scams next month as Japan's stock market booms, something else is also on the rise in the nation investment scams criminals have been quick to exploit the paradigm shift that's seen a relatively financially inexperienced population turn to investing, spurned by rising consumer prices and government encouragement to find higher returns for their savings. In the first quarter, Japan saw a seven fold increase in money lost to investment scams from a year earlier, according to the national police agency. The agency began tracking the data in January last year, and the latest statistics show there were 1700 scams reported in the first three months of 2024, with an average of ¥13 million or $83,500 lost in each case. My comment AI is only going to make scams more effective. I hope the regulators are upping their game. Here's another story. This is from the Financial Times. The headline gaming over the CFTC's very broad definition. The Commodity Futures Trading Commission, a chronicled recipient of Alphaville's ire, earlier this month proposed a rule change that may ban event contracts from the us derivatives market, potentially ending the multi year push for options trading on sports games, award ceremonies and, perhaps most critically, elections. The CFTC's amendment would expand the types of contracts that can be considered gaming and thus banned under the FTC due to their impact on the public interest, as summarized by CFTC chair Rossam Benham with the FTAV's emphasis, my comment whereas the they are going to push this industry offshore argument here are the top three stories from Friday's JLN our most click item Friday was trading Technologies post on LinkedIn celebrating the company's 30 year anniversary. Second was our markets wiki page for George Hanley, who was interviewed by JLN for the Open Outcry Traders History project. Third was our markets wiki page for trading technologies.
[00:12:14] Here are the top three stories from the lead section of today's JLN. The first story is from the Financial Times. The headline speedier Wall street trades are putting global finance on edge. Firms of all stripes are preparing for the imminent shift to faster us stock settlement and the issues it may bring when us markets reopen next Tuesday. After the long weekend, everything will likely seem normal. It's only after the close and in the following days that any cracks are expected to appear. A spike in the number of failed trades, operational glitches and additional costs are among industry fears. As the trading process for american securities accelerates. With the time allowed to complete, every transaction halved to a single day. Here's another story, this one from Bloomberg. The headline copper's boom story has some truth and lots of hogwash. The case for higher for longer prices is there, but bullish exuberance could use a dose of reality. When Thomas Ederson wired his own house in Menlo park, then a tiny village in New Jersey, he fabricated a primitive cable as insulation. He chose a mix of asphalt, linseed oil and beeswax for the core copper wire. Why? The metal is the second best conductor, only behind much more expensive silver. Fast forward nearly 150 years, and copper remains as central to electricity as it did when Edison lighted the american evening. Now, as the energy transition aims to electrify everything from driving to heating copper will be everywhere too. Predictably, it has become the darling of the commodity market.
[00:14:13] And then one more story, this one from the Wall Street Journal. The headline diamond led bank CEO's to fend off tougher capital rules. Regulators discussed slashing proposed capital requirements in sign of banks increasing clout.
[00:14:31] JP Morgan Chase's Jamie Dimon and other big Bank CEO's played hardball with the Federal Reserve over proposals that the lenders hold more capital. Now it looks like those tactics are paying off. The Fed and two other federal regulators are moving toward a plan that would significantly lessen the nearly 20% mandated increase in capital for the biggest us banks, according to people familiar with the matter. We are grateful for your attentive listening to the John Lothian News Daily update. Please spread the word about our podcast among your friends. We would greatly appreciate it if you could spare a moment to leave a review on Apple Podcasts or whatever platform upon which you access this podcasts. Your reviews play a crucial role in introducing our content to new listeners. Also, if you havent subscribed to the Daily John Lothian newsletter email yet, you can enjoy a complimentary 90 day trial by visiting johnlothiannews.com trial. Thank you for your valued support. Have a great day and stay safe and treat people the same way you want to be treated, with respect, equality and justice. This has been. John Lothian Goodbye. This podcast has been produced by Andrew Lothian.
