The Vatican has released a position paper that continues Pope Francis' criticism of the global economic system, calling credit default swaps "a ticking time bomb." "The spread of such a kind of contract without proper limits has encouraged the growth of a finance of chance and of gambling on the failure of others, which is unacceptable from the ethical point of view," the Vatican says.
Kay Swinburne, a European Parliament member from the UK, is pushing back against a parliamentary vote to give the European Securities and Markets Authority more power to ban non-EU clearinghouses from clearing euro-denominated instruments. "It is illogical to try to force market infrastructure and activity away from proven, highly trained supervisors and place them with a body that has no experience of supervision in this field," Swinburne says.
The relative strength index on the West Texas Intermediate-Brent spread is abnormally low, below 20, which suggests it is heavily oversold and a rally is imminent, technical analyst James Dima says. A significant ascent followed the two occasions since 2014 when the RSI was that low for several days.
Cisco stock has dropped after the company's earnings report and forecast offered little encouragement to investors, and technical analyst Steve Miller expects no improvement in the near to medium term. Miller forecasts increased selling pressure that could result in a double top on Cisco's chart, suggesting vulnerability will continue for weeks.
SIFMA and other industry associations have objected to an attempt by California, Oregon and New York to have the ruling on the Department of Labor's fiduciary rule returned to the US Court of Appeals for the 5th Circuit. In a joint statement, the associations said, "The 5th Circuit has already denied the States' motion for leave to intervene, and any request for rehearing is without merit."
A House committee is close to voting on legislation to strengthen restrictions on foreign investment in US companies, a source says. The measure would broaden the power of the Committee on Foreign Investment in the US to block investments on national-security grounds.
Leaders brave enough to act on their convictions will lead with integrity and earn trust in their vision, writes Shelly Francis. "Being willing to tackle hard conversations within an organization, to make room for honest debate and differing opinions, is an act of courage that requires and invites integrity," she writes.
Commodity derivatives have become a focus of the sustainable-finance movement as more exchanges become interested in offering sustainability products, according to the World Federation of Exchanges. "Users of commodities are committing themselves to greater sustainability in their sourcing practices, and this will have an impact on the derivatives based on these underlying commodities," says Siobhan Cleary of the WFE.
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