The European Commission is moving toward granting early recognition of the rules of stock exchanges in the US and Switzerland as equivalent to its own rules by year-end, and is evaluating those of several other countries. The EU's determination of equivalence of another country's trading rules clears the way for EU investors to trade on that country's markets.
Chinese regulators announced broad rules aimed at scaling back risks from the country's $15 trillion market for asset-management products. The People's Bank of China said companies selling the products should not offer a guaranteed rate of return or guaranteed return of principal but instead base returns on the performance of the underlying assets.
Repealing the legal requirement that most Americans buy health insurance might not generate the savings Republicans want to offset tax cuts. Only 7% of Americans who purchase insurance from the individual market will skip coverage if the mandate is eliminated, according to a survey by the Kaiser Family Foundation.
Asian-Pacific stock markets were mixed Monday as investors became concerned about how the debate on cutting US taxes will end. Japan's Nikkei 225 dropped 0.6%; Hong Kong's Hang Seng Index moved up 0.2%; Australia's S&P/ASX 200 declined 0.2%; China's Shanghai Composite rose 0.3%; South Korea's Kospi gave up 0.3%; and India's Sensex was up 0.1%.
Faced with a dying market for its products, specialized chipmaker Marvell Technology Group has agreed to pay about $6 billion in cash and stock for Cavium, which makes computer network processors, a person familiar with the transaction said.
The UK Financial Conduct Authority has warned payment-services firms they have only weeks to establish procedures to protect customers' data. The FCA could start examining companies' communication safeguards and authentication checks as early as January, said Karina McTeague, director of retail-banking supervision.
The People's Bank of China has proposed rules to govern online, automated financial-advice services. The rules include a requirement that financial institutions sponsoring robo-advisers intervene if algorithms disrupt markets or malfunction.
ProShares has brought to NYSE Arca two exchange-traded funds intended to profit from the decline of traditional retailers. The ProShares Decline of the Retail Store ETF is designed to deliver the inverse of the Solactive-ProShares Bricks and Mortar Retail Store Index, while the ProShares Long Online/Short Stores ETF tracks the ProShares Long Online/Short Stores Index.
Proposed amendments to the European Market Infrastructure Regulation could mean buy-side firms would be exempt from posting variation margin on certain foreign exchange forwards.
The Shanghai Futures Exchange has received approval from the China Securities Regulatory Commission to launch copper futures options, though no date has been set. The launch will mark China's first futures options for an industrial product and will influence the price of copper.