Episode Transcript
[00:00:06] Welcome to Majam Lothian news daily Update podcast for October 9, 2024. I am your host, John Lothian. This podcast is brought to you by John Lothian News, the home of Marketswickie and Marketswickie Education. Thank you for joining us. Here are the hits and takes cabinets from today's JLN FIA has announced the selection of ten startups for the 2024 Innovators Pavilion, which will be part of its annual Futures and Options Expo in Chicago from November 18 to 20th. The showcase highlights fintech innovators relevant to derivatives trading and clearing FIA president Walt Lucan emphasized the importance of innovation in the cleared derivatives markets, expressing enthusiasm for the startups pitches and the potential for partnerships. The selected startups, chosen by an independent committee for their innovative products and services relevant to the global futures options and swaps markets, include Abex, a commodity futures exchange anthology AI consumer data analytics clear token, an independent clearinghouse for digital assets Grayo Directo, a trading platform for grains IMX health futures based on healthcare claims data membrane labs software for crypto lending and derivatives percent access to the private credit market thea analytics, quantitative governance and regulatory risk analytics tradewell technologies, trading technology for corporate bonds and vorticity, a value at risk calculation engine CFTC Commissioner Christy Goldsmith Romero will be honored with the Pioneer Award by the Asian Pacific American Bar association, that's the PAbA of Washington, DC, during its annual gala on October 15, 2024 at 06:00 p.m. eastern Daylight Time. The event will take place at the Intercontinental DC at the wharf, located at 801 Wharf Street, Southwest Washington, DC 20,024. I have an account with treasury direct. I have only invested, not tried to take money or securities out. The Wall Street Journal has a story about getting securities out titled the year long wait to transfer bonds out of Treasury Direct, with the sub headline demand surges on Treasury Department's clunky website for buying government debt, leading to backlog of customer requests. The story says investors attempting to transfer holdings from treasury direct to brokerage accounts may face weights of up to a year due to a surge in demand and an outdated customer service system. Over $134 billion in marketable securities have been purchased through treasury direct this year, with its user base growing from 656,000 in 2019 to over 4 million last year, driven by interest in high yield, inflation adjusted savings bonds. The manual processing requirements, including notarized signature, contribute to significant backlogs, leading to processing times ranging from six weeks to over twelve months. Frustrated customers like David Janus highlight that these delays undermine the ease of trading treasuries typically offer. While inflation adjusted bonds are not subject to these delays, they cannot be traded. Financial advisors suggest using treasury direct primarily for specific purchases, such as savings bonds, as brokers typically allow immediate selling of newly purchased treasuries. Despite its limitations, TreasuryDirect offers a low minimum order size of $100, making it accessible. But the Treasury Department recognizes the need for modernization to enhance customer experience. The FMX Futures exchange has seen increased volume in recent days, although yesterday it dipped to 66 contracts. Open interest now stands at 1177 contracts of sofa three month futures. Yesterday the FMX Futures volume was 836 contracts. On Monday, the FMX Futures exchange volume was 836 contracts of sofur, so you can only see the previous day's volume on the site. There is no volume archive I can see, so you must go every day to the daily trade report page on the FMX website to retrieve the volume report. The Wall Street Journal wants you to know that when cell service is down, you can send iPhone text via satellite. The sub headline of the story is Hurricane Milton could disrupt phone and Wi Fi networks. How to stay connected the bad news is that you need iOS 18, which means you need an iPhone 14 or later. I guess it is time for me to update. Here are the headlines from in front of Fow's paywall from some recent stories Merrick's cuts fourth deal in four weeks for FX broker Validus unveils complex Isda terms monitoring and management tool Eurex to extend trading hours for credit futures. This month ICE welcomes completion of Uriber methodology reforms. SGX latest to report strong month with 35% volume hike Tradeweb eyes new markets to boost Asia swap flows analysis DTC has edge in US treasury clearing baton systems Our most read stories from our previous edition of JLN Options, where traders are piling into stock market insurance from the Wall Street Journal FIA announces ten startups selected for 2024 Innovators pavilion from FIA and FCA shift from reactive to proactive regulation needed from FT Advisor 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 a story from Bloomberg the headline HBO documentaries suggest bitcoin creator Satoshi Nakamoto is developer Peter Todd. The bitcoin developer is just one of many people suspected anonymous creator of bitcoin hasn't been heard from for years. A new HBO documentary about the origins of bitcoin suggests that Satoshi Nakamoto, the synonymous creator of the original cryptocurrency is likely. Canadian software developer Peter Todd called money the Bitcoin mystery. The 100 minutes film on Tuesday features interviews with a handful of people who'd been involved with bitcoin from early on, including longtime Satoshi candidate Adam Black, investor Roger Ver, bitcoin marketer Samson Mao and Todd. My comment? I thought I was Satoshi Nakamoto. No, I am Spartacus.
[00:08:11] Here's another story from Bloomberg. The headline generic runs low on portable generators after storms many of companies products sold out after Helene CEO says company warns some products might not hit shelves on Time Generic Holdings Inc. Is running low on portable backup generators after Hurricane Helene and other recent storms knocked out power for millions of Americans. Many of the company's portable products sold out after Helene tore through the us southeast, generic chief executive officer Aaron Jagfelden Jeffield said. The more outages that are occurring and the more they are happening, then the more interest grows in our product, Jagfeld said during an interview at the Home Depot near me in Sarasota. There was a wall of portable generators lined up as you came into the store on Sunday next to a pile of gas cans. I went there on Monday to buy a gas can and both piles were gone. In Elmhurst, I put in a natural gas run generator when I built my new house in 2015 after experiencing my 4th 100 year flood in the past 15 years. Demand for generators is only going to go up. Here's another story, this one from the Financial Times. The headline Florida braced for Hurricane Milton to make landfall us agencies warn of possible threat to life as second storm in as many weeks barrels towards southern states coast. Hurricane Milton has weakened slightly from a category five storm to a category four as it heads across the Gulf of Mexico. But the US National Hurricane center warned that it still poses an extremely serious threat to Florida.
[00:10:06] It is in its latest update on the weather system, which is about 585 miles southwest of the city of Tampa.
[00:10:17] National Hurricane center said winds were reaching 155 that it was likely to make landfall in Florida on Wednesday. My question how many people were kicked in the teeth by Helene depleting reserves and evacuation funds? This hurricane could see a worse humid toll than Helene despite the mass evacuation.
[00:10:40] Here are the top three stories from Tuesdays JLN our top story Tuesday was the 172 best sales during prime big deal days from the Wall Street Journal's buy side. Second was european capital markets face structural challenges, FIA EPTA says the video interview with Peabt boom that JLN released on October 1 3rd was more rich. People are using secret trusts and llcs to hide money from their spouses.
[00:11:19] Here are the top three stories from the lead section of todays JLN. The first story is from the Wall Street Journal.
[00:11:27] The 100 million dollar election bet is here. The election betting market is heating up. Institutional traders can now place election wagers of as large as $100 million on Kalchi, the trading startup that offers yes or no contracts on a range of political and other events, the company said Wednesday. Kelsey started offering election trades for the first time this month thanks to a recent us court ruling that legalized election betting. Hedge funds and big corporations looking to protect against election risks have expressed interest in such trades, said Tarek Mansour, the firm's co founder.
[00:12:11] Here's another story, this one from the Wall Street Journal. The headline a godfather of AI just won a Nobel. He has been warning that machines could take over the world.
[00:12:23] The newly minted Nobel laureate Jeffrey Hinton has a message about the artificial intelligence systems he helped create get more serious about safety or they could endanger humanity. I think we're at kind of a bifurcation point in history where in the next few years we need to figure out if there's a way to deal with that threat, Hinton said in an interview Tuesday with a Nobel Prize official that mixed pride in his life's work with warnings about the growing danger it possesses.
[00:12:59] Here's another story. This is a press release from Merrick's Group plc. The headline Merrick's agrees terms to acquire UK FX specialist Hamilton Court Group Marex Group plc, the diversified global financial services platform, today announces that it has agreed to terms to acquire Hamilton Court Group, which will expand the foreign exchange effect services it offers clients, consistent with its strategy to bring new clients and new capabilities onto its platform and diversify its earnings. Headquartered in London, Hamilton Court Group offers a full suite of FX products ranging from bespoke complex FX options and derivative structures to more vanilla products such as forward spots and swaps. Its clients are primarily midsize UK and european corporates, and it has about 170 employees located in London, Milan, Madrid and Toronto. 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 podcast. 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 johnlothianews.com trial. Thank you for your valued support. Have a great day. 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.
