057 Exchange Invest Weekly Podcast August 8, 2020

CCP safety row sparked by Sir Paul Tucker. CBOE delivers decent results along with the Intercontinental Exchange and many others in the parish while LSE disappoints, and indeed LSE, Borsa, Italiana news spins out, CBOE, complete their MatchNow purchase and a surprise in India as Ajay Tyagi’s contract is renewed as head of Sebi My name is Patrick L. Young. Welcome to the bourse business, weekly digest. It's the Exchange Invest Weekly Podcast.  We begin this week in CCP land. There was a fascinating statement by the previously little known Systemic Risk Council. Their chairman is none other than Sir Paul Tucker, the former deputy governor of the bank of England. “The Systemic Risk Council considers that the proposed guidance is not fit for purpose. (Referring to an FSB white paper on CCP resolution). As it currently stands since it does not provide a clear, internationally agreed solution to the problems of procyclicality and the current inadequate incentives embedded in plans based on clearing houses’ existing rules.” This came on the scene, same day, as CCP 12, the global clearing house counterparty body, published their primer on credit stress testing...one of their latest white papers helping make a safer market overall. So Paul Tucker is an influential thinker and his being frustrated by the FSB process is going to promulgate quite a debate in the CCP world methinks. This systemic risk council itself which I think a few had heard of before, has a body of august and in many ways sound folk, but it also, I would have to note, appears to lack a single serious CCP executive name on its top body, which strikes me as a somewhat well systemic, risk.  Over in Budapest. Congratulations: 30 years of freedom, the Budapest stock exchange, remains open for business three decades after it reopened following the 50 year pause provoked by the evils of the dark era of communism.  Slightly shorter board closure: trading on the Zimbabwe bourse resumed. After that strange, closed down a number of weeks back, nonetheless Old Mutual are still not trading on the exchange...They seem to be moving their listing in Zimbabwe anyway, onto the mooted Victoria Falls exchange, which this week published some new regulations that are going to therefore dictate how you will be able to list in a country starved of foreign exchange in a US dollar denominated equity listing. Over in India, power exchange, PTC, the power trading corporation, they have got the nod to set up the third power exchange with a launch likely by the next financial year.  Nonetheless I E X, the Indian energy exchange retains the lion’s share of some 95% of the day ahead contract market.  Over in New Jersey, they're still talking about the possibility of a quarter penny tax on stock trades. A lot of nonsense being discussed there about the fact that trades can't possibly move away from the safety of Mahwah and the many data centers that are in and around New Jersey through which the pulsing of America's stock trading takes place. The proposed A4402, an item of legislature, perhaps could be best nicknamed the “Get Wall Street, Moving Out Of State).” Over at the Indian Energy Exchange. They're planning a gas ventures sale, which could be rather fascinating altogether.  And to results this week, ICE topped their quarter, two earnings and revenue estimates with another quite smooth beat. The results call itself was oozing with...