Episode Transcript
[00:00:06] Welcome to the John Lothian News daily Update podcast for May 23, 2024. I am your host, John Lothian. This podcast is brought to you by John Lothian News, the home of markets Wiki and Marketswicky Education. Thank you for joining us. Here are the hits and takes comments from today's JLN yesterday was Bitcoin Pizza Day, the annual celebration in the cryptocurrency community that commemorates the first real world transaction involving bitcoin. On May 22, 2010, Lazlo Hanyes, a programmer from Florida, paid 10,000 bitcoins valued at around $41 at the time. Time for two Papa John's pizzas.
[00:00:56] Acuity today released its second quarter 2024 Proprietary Trading Management Insight report. In collaboration with Avalicom. The report examines investment trends in front office software, headcount growth plans, strategies for trading in India, and hot topics like ETF's and the new BGC group exchange.
[00:01:21] It explores whether proprietary trading firms are shifting to in house software builds their 2024 headcount plans, challenges in assessing Indias market and opinions on the potential success of BGCs new exchange and the competition for Euroster Simon Rostran, managing director at Rostren Perry Limited, reported on LinkedIn a new record gold price, he wrote. The twice daily LBMA gold auction price, the longest established and most respected benchmark, ended the week at an all time record high of $2,402.60. The previous record was $2,401.50. The PM settlement on the 12 April Gregory Meyer is starting a new position as us consumer editor at the Financial Times. He shared on LinkedIn. Meyer most recently served as deputy us news editor, but had spent a couple of years as a natural resources correspondent and nine and a half years as an energy and commodities reporter. The Wall Street Journal reported that former president Donald Trump said in a post on his truth social platform on Thursday that Wall Street Journal reporter Evan Gurshkovich would be released almost immediately from Russia after the presidential election, but definitely before I assume office.
[00:03:03] According to the Journal, the Kremlin responded to the former president's assertion, saying there is no contact between Putin and Trump on this matter.
[00:03:14] I have two comments here. First, if Donald Trump can get Ivan Gurchevitz out of Russia, he should do it right now. Second, Donald Trump is no Jesse Jackson.
[00:03:24] Also, OpenAI and News Corp. Have struck a major content license deal valued at over $250 million in which OpenAI will use content from News corps publications, including the Wall Street Journal, others, to enhance its technology, the Wall Street Journal reported.
[00:03:45] Olivier Revelle has started a new position as chief strategy officer executive program at Insid. He reported on LinkedIn. Nsaid bills itself as the business school for the world. I met Olivier when he was the head of commodities markets at Euronext. He participated in the jail and open Outcry Traders history project and was the first and only so far trader from the International Petroleum Exchange to participate. Are you looking for a reason to go to Egypt next week? Look no further than the malaysian Palm Oil forum Egypt, organized by Malaysia Palm Oil Council at the Triumph Luxury Hotel, to be held on May 28. There's a link in today's newsletter Cortes Draper of JLN is featured in a video produced by Roosevelt University and published on LinkedIn, highlighting the program's focus on integrating computer skills like r and coding essential for today's workforce.
[00:04:53] Our most read stories from our previous edition of JLN options were the market's fear gauge is signaling trouble what to expect from Barrons the stock market has already chosen a winner in the 2024 presidential election for MarketWatch, and CityTrader got 711 warning messages before sparking flash crash from Bloomberg. 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 JLN. Here's the sponsored content entry from our friends at FTSE. Russell Russell 2000 index quarterly chart book, May 2024 and Russell Reconstitution the Russell 2000 index provides live index tracking data with historical performance dating back to January 1984. Academic and practitioner research confirms large cap stocks behave differently to 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 ever changing us equity market, and the annual reconstitution process is critical to maintaining equity accurate representation the schedule for the annual reconstitution of the Russell US 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 here's a video from our coverage of FIA Boca Futures hall of Famers Moore and Hines reflect on trading careers in JLN interview Robert Moore and James Heinz, two veteran traders recently inducted into the FIA Futures hall of Fame, reflected on their decades long partnership and evolution of the industry. In an interview with John Lothian, news watch this video on johnlothianews.com. then here's another video from boca crypto.com aims to revolutionize financial services eyes expansion beyond core customer base.
[00:07:40] The future of Crypto.com involves bringing cryptocurrency into every wallet and becoming a one stop shop for financial services, according to two crypto.com executives interviewed at the FIAS annual Boca Raton, Florida, conference conference in March. You can watch this video on johnlothianews.com. here's a story from the Financial Times. The headline Scarlett Johansson is right. AI companies must be more transparent. A new index shows that they have a long way to go, including on data access and model trustworthiness. In the film Herb, a lonely writer called Theodore Thambli falls in love with the disembodied voice of Samantha, a digital assistant played by the actor Charlotte Johansson. I can't believe I'm having this conversation with my computer, Thombley tells Samantha. You're not. You're having a conversation with me. Samantha Coos. The genius of Spike Jones script is its exploration of the borderlands between the artificial and the real. But the science fiction film, released in 2013, has acquired ironic resonance today after OpenAI launched its latest chat GBT four O multimodal artificial intelligence chatbot, seemingly mimicking Johansson's voice. My comment sometimes I wonder if there's any integrity to all the brains behind AI, and sometimes I realize there's not. Here's another story, this one from Bloomberg. The headline Wall Street's five day office rules aren't our fault, watchdog Finra says. As Wall street bosses warn employees that regulatory changes are about to end their days of working from home, the watchdog in charge has a blunt message. Stop blaming us. There is no rule requiring registered persons to work from an office five days a week, says Kate Taslowski, head of member relations and education at the Financial Industry Regulatory Authority. A slate of finner rule changes set to take effect in coming weeks, is meant to preserve workplace flexibility.
[00:10:03] Tozlowski said she was responding to reports that more firms such as Barclays Plc are weighing full time office mandates, with some bosses pointing to FINRA in conversations with staff. My comment the FINrA rule is six days a week, not five. Just for the record, FINRa allows a day of rest, just like God. Here's another story, this one from Bloomberg. The headline a brief history of Wall Street's fat finger problem. A single Citigroup ink trader caused havoc in european stocks in 2022. After the simplest of blunders, the staffer entered the value of stocks they wanted to buy into the wrong field of the banks trading system. The mistake triggered a five minute sell off in european stocks from France to Norway with $1.4 billion worth of equity sold in error. Citing a litany of control failures, UK regulators handed down a 62 million pound, or $79 million, fine on May 22. That, together with the trading losses from the day in 2022, mean the erroneous trade, cost the desk nearly two years of revenue. My comment in the beginning there was point and click and it was good. But then there was the double double click and it was not so good.
[00:11:36] Here are the top three stories from Wednesdays JLn our top clicked item Wednesday was the World Federation of Exchanges research report, the effect of DLT settlement latency on market liquidity. Second was the press release announcing the WfE report. Third was the CME groups announcement of its AIPAC crude oil forum, taking place on June 6, 2024. Here are the top three stories from the lead section of today's JLN. The first story is from Bloomberg. The headline Jorge Allegria returns to the Mexican Stock exchange as CEO after the departure of Auriol Bosch, the manager who will replace Jose Oriole Bosch returns to the mexican stock exchange after almost a decade grip of Bolsa Mexicana de Villores, or BMV, the main stock exchange center in Mexico, announced the departure of its general director, Jose Oriole Bosch, after nine years of leading the company. Jorge Allegria will assume general management, marking his return after his departure almost a decade ago in May 2015. In a statement, the BMV reported that the appointment occurred in accordance with a succession plan and that Allegria will soon take office while Jose Oriole Bosch will remain at the institution during a transition period.
[00:13:15] Here's another story, this one from the Wall Street Journal. The headline Washingtons pivot on bank rules could free up tens of billions by reducing additional capital requirements. Banks would be freer to reward shareholders and clients. The biggest banks seem poised to win a reprieve in Washington, maybe even to the tune of tens of billions of dollars. The Wall Street Journal reported that regulators are considering making significant changes to a recent proposal that would require banks to have more capital. This comes after intense lobbying by the biggest banks, led by JPMorgan Chase's Jamie Dimon. The upshot is that modifications to the proposal could, on average, cut the increase in requirements for big banks roughly in half from what was originally floated, the Journal reported. A development that will have some bank shareholders and customers cheering even if critics say it leaves the financial system more vulnerable to shocks. And then, finally, here's a story from the New York Times. The what Trump 2.0 could mean for the Federal Reserve a second Trump administration could shake up personnel and financial regulation at America's central bank, people close to his campaign said. Former President Donald J. Trump relentlessly criticized the Federal Reserve and Jerome H. Powell, its chair, during his time in office, as he competes with President Biden for a second presidential term. That history has many on Wall street wondering, what would a Trump victory mean for America's central bank? The Trump campaign does not have detailed plans for the fed yet, several people in its orbit said. But outside advisors have been more focused on the central bank and have been making suggestions, some minor, some extreme.
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[00:15:51] 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.
