Latest / Exchange Invest / 302 Exchange Invest Weekly Podcast July 5th, 2025
Transcript
- 0:00Speaker A: This week in the parish of Bosses and Market Structure, Hong Kong exchanges celebrate a glorious first quarter century. ASICS panel lacks exchange expertise, Xavier expresses LSE frustration and CME proposes its own consolidated tape My name is Patrick L. Young. Welcome to the Bourse Business Weekly Digest. It's the Exchange Invest Weekly podcast, episode 302 Foreign Ladies and gentlemen, this is a very brief reduction of highlights amongst the key headlines from the week in Market Structure. All the analysis of the many events and happenings from the past seven days can be found in Exchange Invest Daily subscriber newsletter. The unique guide to the Boris business sent daily to your inbox. More details@exchangeinvest.com over in Bit Carnage, we were looking at unstable coins in a major encyclical. While overall sounding positive, the next generation monetary and financial system takes place based on a tokenized unified ledger, goes the story. The bis, the Bankers bank, the bank for International Settlements have said, well, stablecoins will prove no such thing through an economic cycle. There's also the issue incidentally, that unified as a ledger was seem to be not entirely distributed. But then again, that is kind of in line with what PLY has been thinking. If you enjoyed this excerpt, you may be interested to know you can read Bit Carnage every day in Exchange Invest. Alternatively, if you want a full of Bit Carnage, the daily update on happenings in the world of crypto and digital assets, you can find Bit Carnage as a standalone on Substack this week in Exchanges, three big hitters to helm the inquiry into the troubled asx went the AFR headline. As expected, Rob Whitfield and Christine Holman, neither with any BORS experience, are going to be joined by a fascinating card. Former rba that's the central bank deputy governor with a strong pedigree, Guy Debelle has studied at MIT under the recently deceased Stanley Fisher and was seen as the heir apparent for the central bank governorship in Australia before he left to join an environmental concern. The worry is this is a panel for the Sydney business community, aka broadly conventional corporate folk. 2 out of 3 lack financial market structure specialization. Yes, one of them is a banker, but as we all know, central bankers rarely if ever understand the minutiae of exchanges. Happier news in Southeast Asia with Hong Kong roaring back on its silver anniversary to celebrate and be remembered with pride. Celebrations aplenty in Hong Kong during the past week for the 25th anniversary of Hong Kong Exchanges Group, led in media terms by the South China Morning Post, which has indeed in the past been reluctant to see the potential of HKEx, particularly connect in any of its many forms. To see the newspaper rally around HKEX at this fascinating juncture where it is on the cusp of its greatest era yet is heartening. True, Shanghai may be larger right now, but HKEX has multifunctional purpose and it can become the home of the RMB Offshore yield curve, a future Eurodollar on steroids, amongst other fascinating prospects. Fascinating data plan prospect A CME brings multiple platform streams into one coherent consolidated Forex tape Of course, consolidated tapes are all the rage at the moment as we've seen Big XYT withdrawing from the CTP bidding process following an industry consultation. That's over the fact that the European regulator ESMA has launched its selection of consolidated tape provider for shares and ETFs. The CME move for a consolidated Forex tape is to be welcomed even if former Reuters Financial Refinitiv LSEG out of its Depth Dave second hand financial data warehouse delete as you prefer will potentially be apoplectic as they reckon they have a divine right on such foreign exchange data in the laggard end of the bourse business. Absolutely fairly. The former CEO of LSEG who broadly created the incredible expansion its market asset base, Xavier Rolli, is spectacularly underwhelmed by the team at group and LSE level. Meanwhile the LSE's own boss shrugs and seems bereft of ability to do anything. The tragic point is Raleigh is right, absolutely right. The LSE is adrift and the LSEG has a CEO who is also out of his depth alongside the LSE CEO who is out of her depth. Indeed, IG Markets have launched a Save Our Stock Exchange campaign. Incredibly, an era could be coming to a close in India after more than a decade. A settlement of the NSEL fiasco which has been vexing Exchange Invest from pretty much its fine day. Investors are now seeking Maharashtra government support for the NSCL settlement plan. Went one headline last week. And indeed since SEBI unveiled a settlement scheme for NSL brokers facing regulatory action, it has appeared that finally we might, instead of just sweeping this fiasco under the carpet, be seeing a proper settlement of a shameful moment in the commodities cash commodities marketplace in India. Over in deals. It was an interesting week for deals in the parish. All the deals were an Exchange Invest Daily, the newsletter no person could afford to be without in capital markets and market structure. For the sake of this podcast, a few edited highlights NSE, the National Stock Exchange of India. They've offered $160 million to settle a Sebi move ahead with their IPO, according to sources, and in fact, it looks increasingly like the NSE IPO could hit the market during the January to March quarter of 2026. Meanwhile, prediction market Kalshi have raised $185 million at a $2 billion valuation. Exchange invest is proud to have launched a special edition inspired by a visit to ring the closing bell at the New York Stock Exchange precisely a year ago July 5, 2024. Patrick L. Young's original bestseller, Capital Market Revolution, the first breakthrough book in fintech a decade before that word held common currency, has over 10,000 new words of additional pith, placing the past quarter century in perspective alongside the original text, which has proven remarkably successful throughout the years. Capital Market Revolution, 25th ANN Editions, published by Exchange Investment, is now available as an ebook via Amazon Kindle at a ludicrously Reasonable price of $9.99 a quarter the price of the original shorter print book a quarter century ago. Meanwhile, if you fancy some financial highlights to go with your moving pictures, don't forget to check out our live streams. Tuesday 5 o' clock London 12 o' clock New York time. Now online was our first panel session discussing, well, all manner of exciting topics with an incredible series of of panelists which included guests Mark Bettis and berg and Peter Ra. That was episode number 180. Search for that as IPO FID on Facebook, LinkedIn and YouTube. Our finance book of the Week this week is the Risk Controllers Central Counterparty Clearing in Globalized Financial Markets by Peter Norman describing how CCP's operate, how they handle the Lehman default and the challenges they face nowadays.
- 6:53Speaker B: Thanks for listening to Exchange Invest Weekly. We welcome your feedback. You can contact me directly patrickrivativesvision.com with any comments. Meanwhile, if you enjoyed this show we would welcome you giving us a thumbs up up or if you have time, a positive review will always be welcome wherever you find this podcast.
- 7:11Speaker A: Over in Product News, Hong Kong exchanges fresh from their celebrations they welcomed the launch of 30 year swap trading in northbound swap connect two great swap stories. In fact we have this week because also CCB clearing has gone mandatory for Taiwanese interest rate swaps while Hong Kong exchanges are building the yield curve that will soon blossom with ETDs through 30 year swaps trading heading northbound. Meanwhile, a bit of a spat over the IEX Group's options proposal. Citadel securities reckon it's self serving. How interesting Citadel see the IEX proposal of an options speed bump as allowing for poor market making to entice orders into the long cord, whereas I can also see the other side, which is that some days the low latency nature of options trades means we have to place orders at prices to our detriment. This is an interesting point to discuss as I feel IEX have a key point to make here which is in the interest of many particularly but not exclusively retail options traders in the vibrant US options market. Anything which can improve transparency, particularly on multi legged strategies, is to be welcomed and a speed bump could be terrific here. Electricity is the exciting new product of the year in India. NSE are looking to launch their electricity futures as soon as this month. They're Also even exploring CFDs for renewables and indeed that's an incredible marketplace. NSE sees the electricity derivatives market surging to $475 billion while they're considering waiving fees initially for electricity futures in technology Excellent news from our great friends at Connemara. EP3 is going to be installed in the CFTC Regul Prediction Market Railbird Exchange over in regulation Great news exclusive US Exchanges and the SEC have been in talks to ease public company regulations according to the scoopsters at Reuters. Excellent news for the USA and the world. While I am hyper wary of the Trump administration's excessive emollients towards crypto, which I fear will bite the administration hard at some stage, and the SEC chairman is reflecting that in its discussions. The key reason we wanted Paul Atkins as SEC Chairman was because he is an ideal figure to deconstruct a lot of the excess regulation which is keeping companies private, starving the public market of content and making them a secondary choice which is not the way to run a nation over in big world. One impact of the performative retaliation by Iran against The Al Udaid US base in Qatar during the 12 day war between Iran and Israel was significant commercial flight impacts. On June 14, Qatari airspace and its busy airport hub was closed understandably for several hours, resulting in the diversion of over 160 flights. Perhaps the most dramatic flight plan was qantas non stop QF33 which departed Perth and half halfway through the flight turned around as it could no longer reach Paris, landing back in Perth 15 hours after it took off. Still on the Qatar flight closure June 14. AZ Iran made for that domestic consumption performative revenge attack with little damage on the Aladdin US military base. The net winner of the day was the tiny island state of Malta, whose central position in the Mediterranean resulted in the busiest day ever for its airspace. Malta broke its record for air traffic, according to government releases, with some 650 air traffic movements in Maltese airspace over that single day. Then again, Malta is not quite the USA in dimensions, which averages 45,000 flights in its airspace daily, albeit the territory is a bit larger. At 5.3 million square miles of domestic airspace and 24.1 million square miles of oceanic airspace, Malta's land mass amounts to about 122 square miles. And on that mysterious and magnificent note, thank you for listening to this Exchange Invest weekly podcast number 302. Join us daily via exchangeinvest.com or if you have a new exchange you'd like built, get in touch. We build Marketplaces My name is Patrick L. Young and I wish you a great week in life and markets.
- 11:09Speaker B: This show relates to the business of bourses. It is not to be construed as investment advice nor are we making any investment recommendations. Please consult an investment advisor before you make any investments. And for goodness sake, do your due diligence and do not make investments without complying with the regulations in your home state. Exchange Invest cannot be held responsible for any investment decisions made as a result of our program, which is for entertainment purposes only. The material herein is copyright Patrick L. Young at the date of publication, while our music and sound effects are sourced from copyright free sources. Thanks for listening to Exchange Invest Weekly. The exchange of information.