Transcript:
This week in the parish of bourses and market structure:
Encouraging results from Moscow Exchanges group, ZAR X closed down in South Africa, ASX tech exposed and all manner of shenanigans as the CME deny that they’re looking to take over CBOE.
My name is Patrick L. Young.
Welcome to the bourse business weekly digest.
It’s the Exchange Invest weekly podcast, Episode 109.
Good day ladies and gentlemen, this is a very brief reduction of highlights amongst the key headlines from the weekend market structure. All the analysis of the week’s many events and happenings can be found in Exchange Invest’s daily subscriber newsletter, the unique guide to the bourse business sent daily to your inbox.
More details at ExchangeInvest.com.
CME Group denied rumours of a bid for CBOE global markets this week in a $16 billion deal apparently happening according to the Financial Times. It was one of those brutal put downs of the never talk, know nothing about it, good grief, nothing to see here, etc, etc etc genre. Quite spectacular all together.
On the macro, the biggest point to note here is how the CBOE’s inability to get their IR message across has left the stock becalmed for some time. Somewhat unfairly. It also lacks natural predators (and a CME bid would by the way, be one where CME mostly cannot benefit from CCP content given CBOE’s activities in single name options. Albeit It would also take CME big time into cash equity markets which CME have long avoided). We shall see whether there turns out to be any truth in this rumour in the monster comm. Needless to say the analyst fraternity got their knickers in an enormous twist.
Meanwhile, over in South Africa, the financial watchdog there suspended the licence of the Johannesburg Stock Exchange’s competitors ZAR X. They were, as you may recall, the first stock extension 58 years to be established within the Republic of South Africa.
The suspension seems to result from a non-compliance with various sections of the act relating to capital adequacy and liquidity. ZAR X have 90 days to rectify the situation or face licence cancellation, but clearly the brand damage is already rather immense.
It was a busy week for results in the parish. All the deals were in Exchange Invest, the newsletter no person can afford to be without in capital markets and market structure. For the sake of this podcast, let’s look at some summer edited highlights:
ASX’s profits slipped, no surprise there.
Meanwhile, over at Moscow Exchange, they announced, well some rather healthy operating income up 9.7% in
In new markets, two items to talk about highlights this week:
IFSCA, they’ve done a pilot run of the International Bullion Exchange ahead of on October 1st planned launch that’s in the Gift Gujarat Financial Centre.
Equally, the Zimbabwean Commodities Exchange is open for business. The government has officially launched the Zimbabwe Mercantile Exchange (ZMX) for agricultural trading.
In deals, nothing finite obviously these CBOE not talking to CME was the biggest and most exciting non-deal of the week. Equally another non-deal but it seems to be something that may yet happen. The National Stock Exchange of India they’re inching closer to acquiring NCDEX (the Indian Commodity Exchange) of which of course, they were originally a co-founder. Possibly a slight issue with the S&P Global takeover of IHS markit. However, it seems to be as expected the UK watchdog has begun its probe into the merger. A lot of people are still getting back of course, to the excitement of it the idea that CBOE looks like it will t...
