Top Interest Rate headlines 1-4-2012: NYSE Euronext Plans New Contracts In Futures Challenge To CME

NYSE Euronext Plans New Contracts In Futures Challenge To CME
By Jacob BungeOf DOW JONES NEWSWIRES
The fledgling U.S. futures market run by NYSE Euronext (NYX) announced Wednesday it would launch a new sort of interest-rate futures contract in the coming months as the Big Board parent ramps up competition with CME Group Inc. (CME), the dominant player in domestic futures trade.  NYSE Liffe U.S. is pressing ahead against much-larger CME, planning to introduce additional metals and stock-index derivatives markets and broaden its trading services throughout 2012, according to Thomas Callahan, chief executive of the venture.
"We're certainly proving ourselves," said Callahan in an interview.
The parent of the New York Stock Exchange launched the U.S. counterpart to its London-based Liffe derivatives market in 2008, initially offering a small slate of contracts linked to precious metals and equity indexes run by MSCI Inc. (MSCI).
http://jlne.ws/yTOmbD

Europe bond auctions crucial test for euro crisis
Market Extra - MarketWatch "Europe bond auctions crucial test for euro crisis
Lackluster sale of German government debt offers little relief
By William L. Watts, MarketWatch
FRANKFURT (MarketWatch) — A less-than-thrilling uptake of German government debt on Wednesday put a drag on the euro, kicking off a major theme for the shared currency and other financial markets as Europe’s debt crisis drags into 2012.
Germany sold 4.1 billion euros ($5.3 billion) of 10-year government bonds. The auction, which had aimed to sell up to €5 billion euros of supply, attracted bids totaling €5.3 billion. The Bundesbank, as is standard practice, retained around €900 million of bonds on behalf of Germany’s public debt agency.
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Stock futures down slightly after day of big gains
Associated Press via Yahoo! News
U.S. stock futures are retreating slightly Wednesday after a day of heady gains.
http://jlne.ws/z7mf2x

The Fed's New Forward Guidance
FOX Business Emac's Stock Watch
Pre-announcing the direction of the federal funds rate is an historic move for the bond markets, investors and borrowers.
http://jlne.ws/xSM0Jb

Primary Dealers See QE3 Coming
Wall Street Journal Blogs
"Primary dealers," those lucky banks that answered the Old Bridge Troll's questions correctly and were granted the right to do business directly with the Fed, see QE3 coming and don't see the Fed raising rates for at least two years.
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FOREX: Euro Selling May Return on Germany, Portugal Bond Auctions
DailyFX via Yahoo! Finance
FOREX: Euro Selling May Return on Germany, Portugal Bond Auctions
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How the Fed's New Strategy Could Impact the Bond Market
Wall Street Journal Blogs
The Feds decision to start publishing expected targets for the Fed funds rate may have been greeted with a shrug among stock traders, but its a potentially important development in the bond market.
http://jlne.ws/yGVvaE

World stocks mixed ahead of key meetings in Greece
Boston Globe
World stock markets were mixed Wednesday, as encouraging signs about the U.S. economy were tempered by investors' fears that time was running out for Greece to fix its debt crisis.
http://jlne.ws/ypBNWx

Federal Reserve will start disclosing officials' quarterly projections
Washington Post
The Federal Reserve took another step in its gradual march toward greater openness by agreeing to disclose its board members' expectations about future interest rates, according to newly released minutes of the Fed's December meeting. The measure is designed to increase certainty and predictability about the Fed's current policy of low interest rates - and thus encourage economic activity among ...
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Fed looks to Freddie, Fannie for housing answers
Chicago Tribune
The Federal Reserve on Wednesday said expanding the role of government-controlled mortgage firms Fannie Mae and Freddie Mac could speed a housing market recovery and lift the overall economy.
http://jlne.ws/xqRTzy