Entries by Alan DiNovo

June 16, 2006



Edited by Jim Kharouf (jkharouf@sbcglobal.net)



Editor’s note

Next week, I will be on a volunteer service trip to Appalachia, helping folks repair and rebuild their homes. I am leaving you in good hands in the meantime with guest editor Rob Luke a freelance business and finance writer based in the St. Louis area. Over the past 15 years he has covered equity and derivatives markets in Eastern Europe, Australia, South-east Asia and most recently for several U.S.-based publications.



Lead Stories



Finland, Spain to miss EU carbon emissions date

Reuters

Finland and Spain confirmed on Friday they would miss the end-June deadline to submit proposed caps on their greenhouse gas emissions under the European Union emissions trading scheme, designed to combat climate change.

The European Commission (EC) has said it could sue laggards, but the two countries joined Britain and Hungary in saying they would miss the deadline, as officials struggle for consensus between industry factions, green lobbies and ministries.

http://www.alertnet.org/thenews/newsdesk/L16847788.htm



The Energy Challenge

Pollution From Chinese Coal Casts a Global Shadow

HANJING, China — One of China's lesser-known exports is a dangerous brew of soot, toxic chemicals and climate-changing gases from the smokestacks of coal-burning power plants.

http://www.nytimes.com/2006/06/11/business/worldbusiness/11chinacoal.html?_r=1&adxnnl=1&oref=slogin&adxnnlx=1150477745-baXv4QGrveywdFGHvGvGdg

**** JK Excellent article illustrating the global nature of emmissions.



US/Canada News



The New Dimension of Energy Trading

Peter C. Fusaro

During the past three years, energy trading has been fundamentally impacted by global market forces; however, the nature of these markets has also changed. With the exit of energy merchant and most utilities from trading after the demise of Enron during 2001 through 2003, the slack has been picked up by investment banks and energy hedge funds. With the new triangle of trading of investment banks, hedge funds and energy companies, the market has structurally changed. When Gary Vasey and I pointed this out two years ago, it was ignored by many as the evidence was clearly just surfacing. Today, the evidence is in. The energy markets are faster and driven by the new actors. The position taking on NYMEX and ICE are larger than ever before.

More importantly, the nature of hedge fund trading is very conducive to electronic trading solutions. Last year, the ICE closed the London trading floor, and an era ended. ICE was responding to the new market forces of energy trading. Now, NYMEX moved to side-by-side trading with the CME on June 11th. We expect much more energy trading to commence on both exchanges, and that is only the tip of the iceberg as most energy trading is still OTC.

Energy is still an immature financial market compared to foreign exchange or government securities. Forex trades $1.5 trillion per day. Energy trading (including the emerging environmental financial markets) in all outstanding structures in notional value of $2 to $3 trillion. The growth of this sector is now accelerating, and it could be a $10 trillion market by 2010. Already, we have seen the fastest launch of any commodity futures contract with WTI on ICE. There is much money that wants in on this sector. Most will be come in through hedge funds and investment banks. Financial advisors are now looking at the sector as doubling of up portfolios and that’s for the conservative investment.

We look at $16 trillion in energy investment between now and 2030 according to the IEA in Paris. These estimates may be too low. The infrastructure build out coupled with the continuously strong global demand for both fossil fuels and alternative energy will push this farther. We see opportunities over the entire energy value chain and in recent months have been contacted by new funds that want to trade PJM electricity, freight rates, Russian oil, and cleantech equities in Asia to name a few. Our thesis is that environment becomes the next disruptive factor in energy markets, and that will add more price volatility. Don’t forget it’s the volatility that traders love!

Let’s see. An immature financial market, unprecedented price volatility, global electronic trading and many risks seem to spell a long-term bull market for a sector that is still an immature financial market. There are many entry points. We see many more hedge funds entering over the next two years particularly in the under serviced markets of emerging Asia.

Peter Fusaro is CEO of Energy & Environment Capital Management

This article appears in his newsletter Energy Hedge at www.energyhedgefunds.com



Permafrost melt could speed up global warming

500 billion tons of extra CO{-2} could be released, study says

Keay Davidson, Chronicle Science Writer

Global warming might be significantly worse than expected during the next century because the melting of carbon-rich permafrost in Siberia could expel hundreds of billions of tons of extra greenhouse gases into the atmosphere, scientists warn in a new study.

http://sfgate.com/cgi-bin/article.cgi?f=/c/a/2006/06/16/MNGKKJFD5M1.DTL



The Expanding Role of State Policies Addressing Climate Change

Renewable Energy Access

Washington, DC - A growing portion of U.S. states' electricity is being provided by renewable energy sources, according to a report released by the Pew Center on Global Climate Change. As of mid-2006, 22 states and the District of Columbia have implemented increasingly aggressive and ambitious Renewable Portfolio Standards (RPS).

http://www.renewableenergyaccess.com/rea/news/story;jsessionid=77EF8C20BFF6A171FE0710D1D78D7BE2?id=45180



California Public Utilities Commission Allows Cost Recovery for Green Power Lines

Reuters

LOS ANGELES - Investor-owned electric utilities in California will be allowed to pass on to customers the costs of building lines to transmit renewable power from sources such as wind farms, the California Public Utilities Commission ruled Thursday.

http://www.planetark.com/dailynewsstory.cfm/newsid/36854/story.htm



Planned Ethanol Expansions Could Cause Glut

JOE CARROLL - Bloomberg News

Mark Oberle, chief financial officer of ethanol maker Corn Plus LLP, is sitting out his industry's biggest building boom in a quarter century, and Microsoft Corp. Chairman Bill Gates may wish he had done the same.

Within two years, planned expansion by ethanol producers will push U.S. supplies past demand, according to Standard & Poor's.

http://www.tbo.com/news/money/MGBTUUOVHOE.html

JK**** Bearish



Second-largest ethanol company's shares down almost 10 percent a day after IPO

Associated Press

SIOUX FALLS, S.D. — Shares of VeraSun Energy Corp. tumbled almost 10 percent Thursday, a day after the ethanol producer wowed investors with a 30 percent jump in its initial public offering.

http://www.journalstar.com/articles/2006/06/15/business/doc44918f6e34c41576797996.txt

JK**** Kinda bearish



Ethanol: Live Fast, Die Young, Take Profits

Jim Cramer- RealMoney.com Columnist

It's time to take a bow and clear out of the ethanol stocks -- all of them, and as soon as is reasonable. Use limit orders, sell incrementally -- don't just dump everything at once immediately -- but be aware the ethanol fad is done.

http://www.thestreet.com/_tscrss/comment/investing/10292016.html

**** Very bearish



Ethanol fueling growth for ADM

Stock Spotlight: Corn may soon be a common ingredient in car engines -- how much will no. 1 ethanol producer Archer Daniels Midland benefit?

Rob Kelley, CNNMoney.com

NEW YORK - Soaring gas prices had to be benefiting somebody other than the big oil companies. Turns out that it's agriculture giant Archer Daniels Midland.

http://money.cnn.com/2006/06/16/markets/spotlight/spotlight_adm/index.htm?section=money_latest

**** Long-term bullish?



The New Fuel That Will Shape the Future

Barry Levine - News Factor

Until recently, Brazil was better known for soccer and carnival than for leading the world into the future of energy consumption. But now Brazil is also famous for what might be called its "sweet gold." "Sweet" as in sugarcane, "gold" as in a fuel to replace "black gold" -- oil.

http://www.newsfactor.com/story.xhtml?story_id=43806

**** JK-Back to bullish



$14M for ethanol plant

Ontario pitches in for Aylmer jobs

Krista McFadden -Times-Journal Staff

AYLMER - Construction of a new $90 million ethanol plant here may get under way as early as this fall, thanks to a $14 million capital funding boost from the provincial government.

http://www.stthomastimesjournal.com/story.php?id=236677



Population growth a significant factor in global warming

John Seager - Cumberland Times

As summer approaches, global warming has vaulted into the news, thanks to the release of "An Inconvenient Truth," in which former Vice President Al Gore raises the alarm about the impact of carbon emissions on our planet. Every day we read reports about fuel-efficient cars, wind turbines, and emerging high-tech energy solutions. All seek to cut carbon emissions.

Yet, apart from Gore's own candid comments, there is near-total silence about the role of global population growth and the need for population stabilization.

http://www.times-news.com/opinion/local_story_167094316.html?keyword=secondarystory



Quebec to tax carbon to finance Kyoto goals

Reuters

Canada's French-speaking province of Quebec plans to levy a tax on oil and gas companies to help finance its efforts to reduce greenhouse gas emissions and meet targets set by the Kyoto Accord.

http://www.dose.ca/ottawa/news/story.html?s_id=ubP4taZR54bCK%2bQa518R%2bIlve%2fEYbs%2f5KEWpGmWSOYR951G2WHz%2fvg%3d%3d

JK**** This must be a joke, a tax? Cap and trade folks.



Oil firms reject Kyoto tab

The Gazette

Quebec plans to tax oil and gas companies to finance its plan to implement the Kyoto protocol but also says it needs money from Ottawa to fight climate change, Premier Jean Charest said Thursday.. (CP PHOTO/Jacques Boissinot)

KEVIN DOUGHERTY, MIKE DE SOUZA of CanWest News Service, The Gazette; CanWest News Service contributed to this report

A tough-talking Premier Jean Charest announced a six-year, $1.2-billion plan to reduce greenhouse gas emissions yesterday and said he expects oil companies to absorb - not pass on to consumers - the carbon tax to pay for the plan.

http://www.canada.com/montrealgazette/news/story.html?id=20221cc8-45b0-4d28-9f4d-c43e2bab557d&k=17691



Perdue Incorporated Announces Formation of Perdue BioEnergy LLC

Salisbury, MD (June 16)--Consistent with its corporate commitment to agriculture and environmental stewardship, Perdue Incorporated has formed Perdue BioEnergy LLC, a new company that will focus on the growing biofuels industry.

http://www.grainnet.com/articles/Perdue_Incorporated_Announces_Formation_of_Perdue_BioEnergy_LLC-34895.html



Cascade Enters Agreement in Principle to Acquire Finavera Renewables Limited

Market Wire

VANCOUVER - Cascade Minerals Inc. ("Cascade") (TSX VENTURE:CSM-P.V - News) - Cascade has entered into an agreement dated June 1, 2006 to acquire Finavera Renewables Limited ("Finavera") a private renewable energy company focused on wind and wave energy development (the "Transaction").

http://biz.yahoo.com/iw/060616/0136439.html



Congressional testimony on offshore drilling 'testy'

Associated Press

TALLAHASSEE -- The state's top environmental official summed up her encounter with pro-drilling congressmen over legislation that would open Florida waters to offshore oil and gas exploration with one word: "Testy."

http://www.news-journalonline.com/NewsJournalOnline/News/Enviro/envENV01POL061606.htm





Global warming could burn insurers

Activists call on industry to act

JOHN IWASAKI

The alarm sounded by scientists about global warming has deep implications for the insurance industry and consumers, participants said Thursday at a climate change summit in Seattle.

http://seattlepi.nwsource.com/local/274169_climate16.html



Epa/Corps Wetland Mitigation Rule Unlikely To Drop In-Lieu Fee Option

Inside Epa

EPA and the U.S. Army Corps of Engineers are unlikely to eliminate the controversial in-lieu fee wetland mitigation option in a final rule that aims to create uniform wetland replacement standards for developers, despite suggesting in a draft rule that the option would be phased out after five years, a top Corps official says.

http://www6.lexisnexis.com/publisher/EndUser?Action=UserDisplayFullDocument&orgId=1925&topicId=100002026&docId=l:397013200&start=1



CLIMATE: House panel gives Asia-Pacific effort $4M, symbolic victory

Environment and Energy Daily

Darren Samuelsohn, E&E Daily

House appropriators saved one of President Bush's signature global warming policies from further embarrassment yesterday by providing $4 million for the State Department to spend on an international technology-sharing program.

http://www6.lexisnexis.com/publisher/EndUser?Action=UserDisplayFullDocument&orgId=1925&topicId=100002042&docId=l:396650016&start=3



US government approves settlement to increase energy efficiency in RGGI states

Point Carbon

Yesterday the US Federal Energy Regulatory Commission approved designs for a forward capacity market in the northeastern US that will include energy conservation in pricing signals to power generators building new capacity in the region.

http://www.pointcarbon.com/Home/News/All%20news/Kyoto%20International/article16087-472.html

(Subscription required)



Anyone Can Buy Clean Energy

Union of Concerned Scientists

Most of our nation's electricity is generated from dirty fossil fuels such as coal and natural gas that contribute to global warming and air and water pollution. Solar, wind, and other forms of renewable energy are a cleaner and more sustainable alternative that you can tap into - no matter where you live - by purchasing renewable energy credits (RECs).

http://www.yubanet.com/artman/publish/article_37517.shtml





European News



EU's Dimas Says Low Emission-Permit Prices May Last (Update1)

Bloomberg

The European Union's environment chief said lower air-pollution permit prices for energy and manufacturing companies may endure after an allowance surplus caused a slump.

http://www.bloomberg.com/apps/news?pid=10000085&sid=aUFAqfy6yEFo



Green Room: Politicians write back

Over the past three weeks, the politicians holding the environmental portfolios for the UK's main political parties have outlined their visions for the future.

In this week's Green Room, we have offered them the opportunity to respond to your comments.

Business can save the planet

Peter Ainsworth

http://news.bbc.co.uk/1/hi/sci/tech/5080654.stm#mcneely



Contract to end environmental evils

David Miliband

http://news.bbc.co.uk/1/hi/sci/tech/5080654.stm#rapley



Real changes need real incentives

Chris Huhne

http://news.bbc.co.uk/1/hi/sci/tech/5080654.stm#bennun



Pollution diagnostics hit city streets

New equipment to monitor the impact of traffic on urban pollution is to be demonstrated to experts in London next week.

http://www.edie.net/news/news_story.asp?id=11579&channel=0



Pollution Scheme `Should Include Traffic'

Geoff Meade, PA Europe Editor, in Brussels

A European scheme to reduce greenhouse gases ignores one of the biggest polluters of all - traffic, a new report says today.

http://www6.lexisnexis.com/publisher/EndUser?Action=UserDisplayFullDocument&orgId=1925&topicId=100002042&docId=l:396730063&start=1



Energy labels for homes to become compulsory

All homes sold in England and Wales from June next year will have to carry energy efficiency 'eco-labels,' housing minister Yvette Cooper said on Wednesday.

http://www.edie.net/news/news_story.asp?id=11583&channel=0





Asia news



Think tank: urgency picks up for alternatives

The Age

AUSTRALIA'S dwindling crude oil reserves will run out within seven years at current production rates, if there are no new discoveries.

http://www.theage.com.au/news/business/think-tank/2006/06/16/1149964739792.html



Sino Environment rides on China's pollution woes

Reuters

China's Sino Environment Technology Group Ltd. , which makes equipment to treat industrial waste, is riding on the country's ambitious programme to clean up its poisoned air and water.

http://asia.news.yahoo.com/060616/3/2lz3s.html



Govt urged to consider climate change as national security issue

Eleanor Hall - ABC news

A former government scientist has issued an urgent call to the Federal Government to begin considering global warming as a national security issue.

http://www.abc.net.au/worldtoday/content/2006/s1663767.htm



Global warming appeal fails against mines

ABC news

A north Queensland conservation group has lost its bid to force the Federal Government to consider global warming when approving new coal mines.

http://www.abc.net.au/news/newsitems/200606/s1664286.htm



Other



UN Marks June 17 World Day to Combat Desertification

Press Release

One fifth of the world's population under threat from desertification - impact felt beyond the borders of directly affected countries

http://www.unccd.int/publicinfo/pressrel/showpressrel.php?pr=press14_06_06



The Gods Are Laughing

Daily Policy Digest

Real climate scientists are crying over Al Gore's new film, says Tom Harris, in the National Post of Canada. This is not just because the ex-vice-president commits numerous basic science mistakes. They are also concerned that many in the media and public will fail to realize that "An Inconvenient Truth," amounts to little more than science fiction.

http://www.ncpa.org/newdpd/dpdarticle.php?article_id=3485&PHPSESSID=ace83e02a8a062ec90655c1eeff96af8



America's free trade pacts driving illegal timber trade

First round of trade negotiations with Malaysia conclude tomorrow

Washington, DC - US free trade agreements are accelerating the destruction of tropical forests in Asia and Latin America, according to a report released today by the Environmental Investigation Agency (EIA).

http://www.antara.co.id/en/seenws/?id=14531



Activists fear U.S. pact will fuel Asia logging

Free trade deal with Malaysia will encourage illegal cuts, they argue

Reuters

KUALA LUMPUR, Malaysia - A free-trade pact between the United States and Malaysia could encourage more illegal logging and accelerate rainforest destruction in Southeast Asia, an international environmental group said on Thursday.

http://www.msnbc.msn.com/id/13363691/



Events/Reports



Race to the Top: The Expanding Role of U.S. State Renewable Portfolio Standards

Prepared for the Pew Center on Global Climate Change - June 2006

http://www.pewclimate.org/global-warming-in-depth/all_reports/race_to_the_top/index.cfm



"EM Insights" series, Northwestern Lights Market

http://www.ecosystemmarketplace.com/media/pdf/nw_lights_6.6.2006.pdf



Trucost Releases Ground Breaking Carbon Footprint Ranking Of Uk Investment Funds

Trucost, the environmental research company which produced the environmental reporting guidelines for business for the UK government, has released the first Trucost Carbon Footprint Ranking of UK Investment Funds. For the first time this enables investors to compare investment funds on an environmental basis.

http://www.websitepreview.co.uk/staging/trucost/Carbon_Report.pdf



Chicago Climate Exchange

May Trading Summary

http://www.chicagoclimateexchange.com/news/newsletters/CCX_carbonmkt_v03_i05.pdf



Chicago Climate Futures Exchange

Report on So2 futures

http://www.chicagoclimateexchange.com/news/newsletters/CCFE_sulfurmkt_v03_i05.pdf



Environmental Trading Congress

Strategies for Succeeding in the Environmental Financial Markets

July 24th - 25th, 2006, New York Helmsley, NYC

http://www.frallc.com/conference.aspx?ccode=b371



9th Annual Renewable Energy and Energy Efficiency Expo and Forum

Tuesday, June 20, 2006

9:00 am – 5:00 pm , 345 Cannon House Office Building (Caucus Room)

http://www.eesi.org/briefings/2006/NonEESIEvents/5.20.06SECExpo.htm



Chicago Climate Exchange



Chicago Climate Futures Exchange SO2 Allowance

Cash and Futures Market Prices Survey Report

Friday, June 16, 2006-11:45 a.m. Central Time Report



SO2 Allowance Cash Market Survey

Vintage Bid Offer Last

2006 (or earlier) $600 $620 $615 (June 15)

2007 $595 $615



Cash Market Price Survey Overview

The SO2 cash market price information provided above reflects central values
of price ranges gathered from randomly selected market participants from energy,
brokerage and financial firms. The 9:30 a.m. Central Time report is based on information
gathered between 9:10 and 9:25 a.m. Central Time. The 11:45 a.m. Central Time report is based
on information gathered between 11:25 and 11:40 a.m. Central Time.



CCFE SO2 Futures Market Prices

June 16, 2006 Mid-Day Price

Contract Price

June 2006 $615

July 2006 $617

Aug 2006 $619



CCFE SO2 futures contracts require sellers to deliver current or earlier vintage (see CCFE Member Advisory 2005-11 for details).



Disclaimer

Cash market information provided herein is a summary of quotes provided to CCFE
by market participants. The information does not represent a recommendation, trading
advice or prediction of market conditions CCFE takes no responsibility for any decisions

made on the basis of this information.






The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.





June 16, 2006



Lead Stories



Commodities 'bubble may be about to burst'

By Kevin Morrison

The recent fall in commodity prices may have signalled the end of the sector's bull run as higher interest rates will curb demand growth, one of the UK's largest pension funds said yesterday.

"People are talking about a 10- or 15-year bull run. I think we have seen it after three years," said Julien Garran, head of asset allocation at Legal & General.

http://news.ft.com/cms/s/b9e48ca0-fcd3-11da-9599-0000779e2340.html



CME® Eurodollar Electronic Options Reach New Record

Electronic Eurodollar Options Market Maker Qualifying Period Begins; CME Clearing Clears the One Billion Trades Mark

CHICAGO, June 16, 2006 — CME, the world’s largest and most diverse financial exchange, today reported a record-breaking 493,232 electronic CME® Eurodollar options on futures contracts traded during yesterday’s trading session, which represented nearly 17 percent of the total volume traded in this market on Thursday. Open interest was also at record levels for CME Eurodollar options with 32,744,129 positions open. Open interest represents the number of contract positions that remain open at the end of the trading session.

http://www.cme.com/about/press/cn/06-83Eurooptionsvolumerecord18974.html



**** Wow!!!!



US exchanges lock antlers over metals screen trade

by Zach Howard

NEW YORK, June 16 (Reuters) - Competition is heating up between New York and Chicago commodity exchanges over electronic trading of gold and silver, which is taking a big bite out of the business that traditionally had been conducted via open-outcry on a raucous trading floor near Wall Street. The Chicago Board of Trade's (BOT.N: Quote, Profile, Research) electronically based precious metals complex has grabbed a bigger chunk of the U.S. futures market since late 2004, when it entered the fray against the COMEX division of the New York Mercantile Exchange, which still retains most of the volume in gold and silver futures and options. Chris Malo, CBOT's chief marketing officer, said this week the CBOT's success was unlikely to be derailed by NYMEX's plan to expand its computerized metals trading, which eventually may go side by side with NYMEX's floor business.

http://yahoo.reuters.com/news/articlehybrid.aspx?storyID=urn:newsml:reuters.com:20060616:MTFH83758_2006-06-16_14-09-54_N16348030&type=comktNews&rpc=44



**** Lock antlers?



Borsa, Euronext alliance would benefit both

By Mathias Wildt

MILAN (Reuters) - An alliance between pan-European bourse Euronext (ENXT.PA: Quote, Profile, Research) and Italy's Borsa Italiana would bring cost cuts to both and allow Milan's bourse to take part in the industry's consolidation process. Borsa Italiana has said Euronext would be its "first choice" for a possible alliance, and the heads of the two exchanges met last week in Milan to discuss a possible link-up.

http://news.reuters.com/newsArticle.jhtml;jsessionid=LRVS1XPITGSOQCRBAELCFFA?type=reutersEdge&storyID=12553647



OFT invites comment on NYSE-Euronext merger plan

By Lydia Adetunji

Britain's Office of Fair Trading on Friday invited representations on competition issues arising from the proposed merger between the New York Stock Exchange and Euronext, the pan-European stock and derivatives exchange. Euronext owns the London-based Liffe derivatives exchange, and Euronext and the NYSE have said that a combined group would have London as the centre for its derivatives business.

http://news.ft.com/cms/s/499ae3e6-fd31-11da-9b2d-0000779e2340.html



UK's OFT Considers Probe Of NYSE-Euronext Deal

By Henry Teitelbaum

LONDON (Dow Jones)--The U.K. Office of Fair Trading said Friday it was considering whether an agreed takeover of Euronext NV (24151.AE) by NYSE Group Inc. (NYX) would bring competition issues for it to examine under the Enterprise Act of 2002. But analysts said the case for a full examination of the deal is weak, considering that the only part of the transatlantic stock exchange merger that is relevant to U.K. regulatory authorities involves the U.K.-based Liffe derivatives exchange that Euronext already owns. "I would be mildly surprised if there was anything coming out of it," a U.K-based exchange consultant said.

http://online.wsj.com/article/BT-CO-20060616-707272.html?mod=hps_us_my_industries



NYSE head says Sarbanes-Oxley won't come to Europe

PARIS, June 15 (Reuters) - The New York Stock Exchange's planned merger with European exchange operator Euronext (ENXT.PA: Quote, Profile, Research) will not force European companies to adopt U.S. reporting rules, the head of the NYSE told a French newspaper. "Our project protects the regulatory environment which currently governs the European market very strictly," NYSE Group Inc. Chairman John Thain told Le Figaro in an interview from Friday's edition released ahead of publication on Thursday.

http://today.reuters.com/investing/financeArticle.aspx?type=mergersNews&storyID=2006-06-15T202332Z_01_L15579566_RTRIDST_0_FINANCIAL-EXCHANGES-EURONEXT-NYSE.XML



Deutsche Boerse meets again with Euronext shareholders: source

The management of German stock exchange operator Deutsche Boerse met again with shareholders of pan-European rival Euronext this week to discuss possible ways of improving Deutsche Boerse's merger proposals.

http://news.yahoo.com/s/afp/20060616/bs_afp/germanyeuropestockscompanymergerboerseeuronextnyse_060616094653



NYSE-Euronext merger would boost France's financial role: NYSE chief

The planned merger between pan-European stock market Euronext and the New York Stock Exchange would allow France to boost its role in the financial world, NYSE chief executive John Thain said in the French press.

http://news.yahoo.com/s/afp/20060615/bs_afp/franceuseuropestocks_060615234930



NYSE, Euronext 'boost for France'

THE planned merger between pan-European stock market Euronext and the New York Stock Exchange would allow France to boost its role in the financial world, NYSE chief executive John Thain said in the French press today.

http://www.finance.news.com.au/story/0,10166,19487132-462,00.html?from=rss



What Does NYSE-Euronext Mean for the U.S. Trader?

Much has been written about the NYSE Group's proposal to merge with Euronext and create a truly global marketplace that spans U.S. and European stocks as well as futures and options.

http://www.wallstreetandtech.com/showArticle.jhtml?articleID=189401909



Bush to nominate Dunn to remain on CFTC

President George W. Bush will nominate Michael Dunn to remain on the Commodity Futures Trading Commission for another five-year term, the White House said on Thursday.

http://news.yahoo.com/s/nm/20060615/pl_nm/commodities_dunn_dc_1





http://www.cme.com/trading/prd/ir/inflatSummitOver18697.html



The Chicago Merc's Big Shoulders

By Lauren Rae Silva

The Chicago Mercantile Exchange (CME:NYSE - commentary - research - Cramer's Take) continues to stand out from the crowd. Shares in stock and commodity exchanges have been crushed in the recent market meltdown. Although the shares have recovered some in the past two days, the CBOE exchange index, which tracks exchanges including the CME, the Chicago Board of Trade (BOT:NYSE - commentary - research - Cramer's Take), the New York Stock Exchange (NYX:NYSE - commentary - research - Cramer's Take) and the Nasdaq (NDAQ:Nasdaq - commentary - research - Cramer's Take), is off 17% in a month. The Nasdaq has dropped 23% and NYSE is down 21%. But over the same stretch, the CME has held its own, losing only 2% during the last month, in line with the S&P 500. And outperforming its peers is nothing new for the CME, whose shares have jumped nearly tenfold since their December 2002 initial public offering.

http://www.thestreet.com/_googlen/stocks/brokerages/10291818.html?cm_ven=GOOGLEN&cm_cat=FREE&cm_ite=NA



IntercontinentalExchange Files Registration Statement for Secondary Offering

IntercontinentalExchange today announced that it filed a registration statement with the U.S. Securities and Exchange Commission for a proposed secondary offering of 8,000,000 shares of its common stock.

http://biz.yahoo.com/prnews/060616/clf011.html?.v=53



Just what is going on at the SFE?

THE coup at the ASX that installed the SFE's Robert Elstone as chief executive over Tony D'Aloisio's twitching corpse was certainly a dramatic demonstration of investor power, but behind it is a different, more complex power struggle within the SFE.

http://www.theage.com.au/news/business/just-what-is-going-on-at-the-sfe/2006/06/16/1149964739804.html



Elstone Future Fund job in doubt

By Kevin Andrusiak and Elizabeth Colman

THE fate of Rob Elstone's role as a guardian of the Future Fund is likely to be decided by fund chairman David Murray following Mr Elstone's controversial appointment to manage the combined Australian Stock Exchange and Sydney Futures Exchange. A spokesman for Finance and Administration Minister Nick Minchin said that should the merger of the ASX and Sydney Futures Exchange proceed, Mr Elstone's role would be under review. He said Senator Minchin's office would take advice from those close to the Future Fund.

http://townsvillebulletin.news.com.au/common/story_page/0,7034,19484379%255E462,00.html



The OIC to Survey European Financial Firms on Their Use of U.S. Options Marketplace

http://www.888options.com/press/archive/2006/jun_15_2.jsp



Our Position Simulator has been improved to allow up to four different implied volatilities to better simulate real world option price behavior. Try it now.

http://www.888optionsnet.com/investigator_2/wi_positionSimulator.asp



The US on Thursday signalled it would not fight efforts to create an Asian currency unit

The US on Thursday signalled it would not fight efforts to create an Asian currency unit, turning the page on over a decade of largely consistent opposition to Asian monetary integration.

http://www.indiadaily.com/editorial/9744.asp



Environmental Trading News



EEX Exchange Council Adopts Resolution On Introduction Of The Swiss Market Area Piasko Re-Elected As Chairman Of The Exchange Council – Introduction Of Gross Bidding On The EEX Spot Market

http://www.exchange-handbook.co.uk/news_story.cfm?id=59963



For more environmental trading news, subscribe to the Environmental Markets version of the John Lothian Newsletter edited by Jim Kharouf.

Click here to subscribe: jimkharouf-request@johnlothiannewsletter.com?subject=subscribe



Exchange & ECN News



CBOT 10-Yr. Treasury Note Electronic Options on Futures Set Volume Record

The CBOT announced today that its electronically traded 10-Year Treasury Note options on futures contract set a record yesterday, as volume surpassed 150,000 contracts at the close of trading. 06.16.06

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1036+39191,00.html



CBOT Electronically Traded Metals Perform in Near Record Fashion During Extreme Volatility

CBOT electronically traded metals perform in near record fashion during extreme volatility. On June 13, with 30-day gold volatility at 39% and gold prices tumbling nearly $44.00, the CBOT metals complex established its second all-time high with 100,589 contracts traded—60,520 100 oz gold as the front-month a consistent maintained 10-30 cent bid/ask spread. 06.15.06

http://www.cbot.com/cbot/pub/page/0,3181,1025,00.html







5,000 Ounce Silver Options Now Trading

Traders can now take advantage of 100% electronic options on 5000 oz. Silver futures. Transparent markets are supported by Electronic Market Makers committed to making two-sided markets on the CBOT’s premier electronic trading platform.

http://www.cbot.com/cbot/pub/page/0,3181,1025,00.html



CBOT Corn Options Contract Reaches One Million Milestone in Open Interest

The CBOT announced that for the first time in the contract's history, CBOT Corn options reached a record high open interest of one million contracts, closing at 1,015,594 contracts. 06.15.2006

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1027+39155,00.html



Binary Options FAQ

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1027+39181,00.html



Binary Options Specs

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1027+39173,00.html



Strike Price Notice - Dow, mini sized Dow, June 16, 2006

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1032+39187,00.html



NYMEX to Change Margins for Gold, Silver Futures Contracts

NEW YORK, N.Y., June 15, 2006 — The New York Mercantile Exchange, Inc. today announced margin changes for its gold and silver futures contracts, effective at the close of business tomorrow.

Margins for the gold futures contracts will decrease to $3,000 from $3,500 for clearing and non-clearing members and to $4,050 from $4,725 for customers.

http://www.nymex.com/press_releas.aspx?id=pr20060615a



NYMEX to Change Position Limits for Copper Futures Contract

http://www.nymex.com/press_releas.aspx?id=pr20060615b



KCBT Independence Day Trading Hours

KCBT announces trading hours for days surrounding Independence Day

http://www.kcbot.com/news_2.asp?id=397&home=1



UBS: Repayment of Nominal Value / Stock Split UBS / Unaxis: Adjustment of Market Maker Obligations and Mistrade Ranges

http://www.eurexchange.com/products/news_EQU/productNews_2006_06_16_567.html



Successful listing for Aéroports de Paris

http://www.euronext.com/news/press_releases/0,4159,1732_8275,00.html



Program Trading Averaged 62.6 Percent of NYSE Volume during June 5-9

http://www.nyse.com/press/1150366628280.html



CBOE seeks to launch options on corporate debt

by Isabelle Clary

The Securities and Exchange Commission is opening for comments a proposal by the Chicago Board Options Exchange to trade options on corporate debt, the latest example of a regulated market’s attempt to list a profitable segment of over-the-counter trading. For-profit exchanges are eyeing specific sectors of the OTC market that may yield a windfall if they can successfully transition them to an environment free of counterparty risk worries. This would lower overall trading costs for investors and give them a way to hedge risk for poor quality issues.

http://www.financialnews-us.com/?contentid=1045164832&page=ushome&cid=VVM1MzA%3D



More Efficient Means Of Recording Data - Collaboration Between SWX, SIS And Telekurs In Compilation Of Core Data For Securities

http://www.exchange-handbook.co.uk/news_story.cfm?id=59972



Multi Commodity Exchange of India Weekly Market Report – June 9, 2006 To June 15, 2006 - MCX Comdex Closes At 2145.46, Down 97.42 Points

http://www.exchange-handbook.co.uk/news_story.cfm?id=59965



Letter To Shareholders Re ASX/SFE Merger

http://www.exchange-handbook.co.uk/news_story.cfm?id=59957



NYSE 'FRONT-RUNNING' SPECIALISTS' TRIAL BEGINS

Two former New York Stock Exchange specialists broke the NYSE's "golden rule" by putting themselves ahead of their customers, a prosecutor said in opening arguments at their criminal trial.

http://www.nypost.com/business/nyse_front_running__specialists_trial_begins_business_.htm



Regulatory News



The SEC News Digest

The SEC News Digest provides daily information on recent Commission actions, including enforcement proceedings, rule filings, policy statements, and upcoming Commission meetings.

http://www.sec.gov/news/digest/2006/dig061506.txt



CFTC Weekly Advisory

http://www.cftc.gov/opa/adv06/opawa24-06.htm



New Webcast: Customer Data Protection

This webcast highlights the responsibilities registered reps should be aware of for protecting their

http://www.nasd.com/EducationPrograms/OnlineLearning/Webcasts/NASDW_016061



SEC Staff Issues Fact Sheet On Cross-Border Mergers

By Judith Burns

WASHINGTON (Dow Jones)--Cross-border stock exchange mergers won't necessarily bring non-U.S. exchanges or companies under U.S. rules, the staff of the U.S. Securities and Exchange Commission said in a fact sheet issued Friday. SEC Chairman Christopher Cox has said U.S. regulators don't want to be a roadblock to such mergers, a position reiterated in the SEC fact sheet. Specifically, the staff stated that many cross-border mergers wouldn't require non-U.S. exchanges or companies to register with the SEC or become subject to U.S. securities laws, including the 2002 Sarbanes-Oxley Act.

http://online.wsj.com/article/BT-CO-20060616-707144.html?mod=hps_us_my_industries



SEC Office Of International Affairs And Divisions Of Market Regulation And Corporation Finance Release Fact Sheet

http://www.exchange-handbook.co.uk/news_story.cfm?id=59973



Gov't to Examine Hedge Fund Short Sales

The Senate Judiciary Committee will hold a hearing Tuesday on the short-selling activities of hedge funds and independent analysts, a subject that has generated headlines and lawsuits alleging collusion and market manipulation.

http://biz.yahoo.com/ap/060616/senate_selling_short.html?.v=1



Former NASD Examiner Joins Consulting Firm

David Kenny , a veteran NASD examiner, has been named regional director of the broker/dealer practice at RCRS , a compliance and regulatory consulting subsidiary of financial services recruitment giant The Response Cos . Kenny, who left the NASD in December, joined RCRS after more than 30 years working in the NASD's New York Region.

http://www.compliancereporter.com/default.asp?page=1&SID=636369&ISS=22067



It's Time to Come Clean on Muni Swaps, Derivatives: Joe Mysak

June 16 (Bloomberg) -- The Governmental Accounting Standards Board is putting on a show about swaps and derivatives, and wants you all to play a part.

http://quote.bloomberg.com/apps/news?pid=10000039&refer=columnist_mysak&sid=a5x6Vmk497wE



Investments - Indexes - Managed Futures - Managed Funds



What price talent? Why US investors are now less content to hail the chief

By Francesco Guerrera, Andrew Ward and Jeremy Grant

When Bob Nardelli was appointed chief executive of Home Depot in December 2000, it seemed like a consolation prize. He had just lost out to Jeffrey Immelt in the battle to succeed Jack Welch as chief executive of General Electric. Six years later, the setback is starting to look like a stroke of luck. Since taking charge of Home Depot, the world's largest do-it-yourself retailer, Mr Nardelli has received nearly $250m (£135m, €198m) in compensation including stock options - more than double what Mr Immelt has been paid at GE.

http://news.ft.com/cms/s/f15848f2-fcd3-11da-9599-0000779e2340.html



U.S. securities less alluring to foreigners

WASHINGTON -- International investors slowed purchases of U.S. securities in April after comments from the Group of Seven industrialized nations and Federal Reserve Chairman Ben Bernanke weakened the dollar. Net holdings of Treasury notes, corporate bonds, stocks and other financial assets increased by $46.7 billion, less than March's revised $70.4 billion and the lowest total since March 2005, the Treasury Department said Thursday.

http://www.chicagotribune.com/business/chi-0606160170jun16,1,62936.story?coll=chi-business-hed



Cuban's Maverick Stocks Site

The tempestuous NBA team owner aims aiming to expose corporate shenanigans with a new Web site. Raising eyebrows: He'll base stock plays on that info before making it public

http://www.businessweek.com/investor/content/jun2006/pi20060615_872931.htm



HFR to replace MinusFunds?

A letter sent to SPhinX Funds investors yesterday says that Hedge Fund Research has made a heavily-qualified to replace MinusFunds as the investment adviser to the troubled – to say the least – SPhinX Funds. Among the conditions: the change would require the “consent and cooperation of Standard and Poor’s;” what the letter doesn’t say is that HFR is a direct competitor with S&P in investable hedge fund indexing, and it’s unclear why S&P, which bills itself as the world’s leading index provider, might want to consent and cooperate with the Chicago-based boutique.

http://nakedshorts.typepad.com/nakedshorts/2006/06/hfr_to_replace_.html



HEDGE FUND SHUTS DOWN AFTER SEC CHECK

By RODDY BOYD

A Bear Stearns-backed hedge fund is shutting its doors under a mysterious cloud after regulators discovered an unusual, potentially improper pay deal in which one of the Wall Street giant's brokers was caught matching super-rich investors with secretive investment pools.

http://www.nypost.com/business/hedge_fund_shuts_down_after_sec_check_business_roddy_boyd.htm



What You Need to Know About ETFs

Discusses the lowdown on exchange traded funds , including Spiders and Vipers, commissions and other expenses, and tax considerations. Includes Web sites for fact sheets on ETFs and to compare funds by cost.

http://biz.yahoo.com/kiplinger/060616/pf_v060_n007_u024_01001_id.html?.v=1



Planting an Inflation Hedge

Columnist James Glassman discusses the risks of inflation for investors and shows how you can hedge against inflation by investing in stocks, bond ladders, inflation-protected securities and commodities funds.

http://biz.yahoo.com/kiplinger/060616/pf_v060_n007_u027_01001_id.html?.v=1



Reports



Bond Talk Today's Events

http://www.bondtalk.com/global.cfm?S=todaysevents



USDA Today

http://www.usda.gov/nass/PUBS/TODAYRPT/TODAY.HTM



Miscellaneous News



Cargill Supports Indonesian Earthquake Recovery

http://www.cargill.com/news/news_releases/060615_earthquakerelief.htm#TopOfPage



CLSA acts as joint bookrunner, joint lead underwriter and joint lead manager for Yanlord, largest IPO from China to list in Singapore

http://www.calyon.com/pdf-en/CLSAYanlordp.pdf



Orc Software expands trading options

Financial trading technology company Orc Software is set to provide direct trading access to FXall and Hotspot FXi, two alternative trading systems for foreign exchange.

http://www.cbronline.com/article_news.asp?guid=66DDDB11-E6AB-45AF-AA6B-CBEBD84B5DDC



Judge orders Refco unit to pay $124 million

NEW YORK (Reuters) - A U.S. judge ordered a unit of bankrupt Refco Inc. (RFXCQ.PK: Quote, Profile, Research) to honour a British court judgement to pay $124 million (67 million pounds) to Sberbank, Russia's largest bank, court documents show.

http://go.reuters.co.uk/newsArticle.jhtml?type=businessNews&storyID=1264472§ion=finance&src=rss/uk/businessNews



BEAR POSTS BIG PROFITS

Bear Stearns Cos., the biggest U.S. underwriter of mortgage-backed bonds, said profit surged 81 percent to a record in the second quarter, led by fixed-income and equity trading.

http://www.nypost.com/business/bear_posts_big_profits_business_.htm



Operational Risk - Companies Fear Fraud in Emerging Markets, But are Failing to Act Effectively

http://www.garp.com/risknews/newsfeed.asp?Category=6&MyFile=2006-06-16-13010.html



Cantor Gaming Launches ''FHM Casino'' with Emap plc

LONDON----June 16, 2006--Cantor G&W International L.P , a provider of online and mobile gaming services and affiliate of global financial services company, Cantor Fitzgerald, today announced the launch of 'FHM Casino' on FHM.com in partnership with leading media group Emap plc.

http://biz.yahoo.com/bw/060616/20060616005052.html?.v=1



Deutsche Bank, BT Radianz Offer Low-Latency Data and Execution Access

Deutsche Bank has teamed with BT Radianz, a provider of connectivity and hosting services, to offer a hosting solution that provides low-latency access to market data and trade execution globally.

http://www.wallstreetandtech.com/showArticle.jhtml?articleID=189401876



Algorithms Overseas

While algorithmic trading is white hot in the U.S., it's another story abroad, where the markets might not be ready for program trading.

http://www.wallstreetandtech.com/showArticle.jhtml?articleID=189401882



eSignal upgrades market data software

Financial market data company eSignal has released eSignal 8.0 software, providing additional market data from global exchanges and expanded Forex and treasury data.

http://www.cbronline.com/article_news.asp?guid=E386C897-6A30-45FD-9554-531A22E77627



Observations – Statistics - Commentary



FOWeek Headlines Issue 1124 19-Jun-2006



• Euronext set on NYSE

• CBoT data fee riles industry

• LME faces Nymex metals threat

• Analysis: Legal wranglings

• Case study: LME v OFT

• Case study: Man v PAAM

• Case study: TT patents

• DME’s Oman crude contract targets global benchmarks

• CBoT launches silver options, looks to expand

• Interview - John Damgard



http://www.fow.com/




++++++



NYMEX-ICE Energy Futures Scorecard





ICE Brent Volume
171,899

ICE WTI Volume
137,703




NYMMEX WTI (physical) Volume
289,569

NYMEX WTI Financial Volume
15,300

NYMEX Mini Gasoline
34

NYMEX Mini Heating Oil
2,371

NYMEX Mini Light Crude Oil
48,701

NYMEX Mini Natural Gas
19,535

NYMEX Mini Complex
70,641







****





Chicago Electronic Trading Scorecard for Previous Trading Day




Percent Electronic





CBOT:
67.07%

CME (excluding TRAKRS):
65.66%

CME Eurodollar Futures:
87.14%

CME Eurodollar Options
20.11%

CME Live Cattle Futures:
0.51%

CME Currency Products:
85.70%

CBOT Soybeans Futures:
2.05%




CBOT Options:
24.83%

CME Options:
18.68%




Volume





OneChicago Volume:
57,789

CBOE Futures Exchange Volume:
4,329

CCFE Sulfur Financial Instrument (SFI) Futures
143




Market Share





CBOT 100 oz. Gold Futures Volume:
33,293

NYMEX 100 oz. Gold Futures Volume:
59,960

CBOT Share:
35.70%




CBOT 5000 oz. Silver Futures Volume:
5,748

NYMEX Silver Futures Volume:
26,387

CBOT Share:
17.89%




CBOT Mini Gold Volume:
11,387

CBOT Mini Silver Volume:
4,083

CBOT 100 oz. Gold Options:
662

CBOT Metals Complex:
55,274

CBOT 100 Oz. Gold Open Interest:
7.70%

CBOT 100 Oz. Gold Give Up %:
11.10%






Notes: Yesterday’s Eurex US numbers were incorrect. The number I displayed was their open interest, not their daily volume. They had no daily volume to report for Wednesday’s trade. I have discontinued tracking Eurex US volume and today added CCFE Sulfur Financial Instrument (SFI) Futures to the list.



Regards,



John J. Lothian

Publisher

John Lothian Newsletter

www.johnlothiannewsletter.com




Futures Brokerage - Business Intelligence




John J. Lothian
President- Electronic Trading Division
The Price Futures Group, Inc.
141 West Jackson Blvd., Suite 1340A
Chicago, IL 60604

jlothian@pricegroup.com
johnlothian@johnlothian.com
IM: LothianJohnJ
http://www.pricegroupetd.com
tel:
tel2:
fax:
mobile:
+1 312-264-4350
+1 800-713-0215
+1 312-264-4399
+1 312-203-5515










Add me to your address book...
Want a signature like this?








Disclaimer: The John Lothian Newsletter and Environmental Markets newsletter are products of John J. Lothian & Company, Inc. The opinions expressed in the John Lothian Newsletter and Environmental Markets are strictly the opinions of John J. Lothian & Company, Inc., and not necessarily those of Mr. Lothian’s employer, The Price Group and its management, and is intended solely for informative purposes and is not to be construed, under any circumstances, by implication or otherwise, as an offer to sell or a solicitation to buy or trade in any commodities or securities herein named. Information is obtained from sources believed to be reliable, but is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. Security futures are not suitable for all customers.



Futures and options trading involve risk. Past results are no indication of future performance.



This is an opt-in newsletter. If you wish to unsubscribe, please check the address of list you are receiving the newsletter from and then click on the appropriate link below.



mailto:johnlothiannewsletter-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter1-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter2-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter3-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter4-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter5-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:jimkharouf-request@johnlothiannewsletter.com?subject=unsubscribe



If the unsubscribe links above do not work for you, please send an email to johnlothian@johnlothian.com with unsubscribe in the subject line.



The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.

June 15, 2006



Edited by Jim Kharouf (jkharouf@sbcglobal.net)



Editor’s comments



Two quick observations about today’s news. One, it is great to see the World Bank utilizing the Chicago Climate Exchange to reduce its emissions – Bravo.



Secondly, one of this newsletter’s missions is to identify trends or connect seemingly disparate news items, pull them together and connect the dots for you. Earlier this week, we featured a series of stories on China, then on ethanol. Today, I noticed a story in the NY Times about investors asking the SEC to “require that companies disclose their financial vulnerability to changes in climate.”

This is fascinating and a trend we will see repeated with or without the SEC in the coming weeks and months. Wal-mart submitted its position statement on the Regional Greenhouse Gas Initiative (RGGI). BP is putting $500 million into bio-fuels research. Why? They may care about the environment, but they also recognize point A, vulnerability to changes in climate. Investors such as pension funds, Wall Street analysts and other major institutions increasingly see climate change, i.e. emissions, as balance sheet or corporate risk. Those CEO’s who do not know what that risk is when they meet shareholders will soon find themselves in the hot seat and hopefully out of a job. The trend here is that when names like SEC, Wal-Mart, GE and BP are involved, political winds often shift behind it as well.



Today marks the second week for Environmental Markets. I hope you have found it useful. We’re looking to offer more in the coming weeks. Please feel free to chime in with any ideas or comments you may have.



Thanks again for your interest,



Jim Kharouf

Editor

Environmental Markets



Lead Stories



The World Bank Group offsets GHG footprint through Chicago Climate Exchange(R) (CCX(R)) with emission credits from Precious Woods

News Aktuell - DPA Firmengruppe

Zurich - The World Bank Group announced on World Environment Day 2006 that it has offset 100 percent of its Greenhouse Gas emissions produced by its Washington, D.C. operations and business transportation tracked from its headquarters in fiscal year 2006. Emission credits purchased through the Chicago Climate Exchange (CCX) contributed to reaching this goal. The World Bank Group becomes the first multi-lateral organization to become a member of the Chicago Climate Exchange.

http://www6.lexisnexis.com/publisher/EndUser?Action=UserDisplayFullDocument&orgId=1925&topicId=100002042&docId=l:396548754&start=1



WORLD BANK: Critical choices today will define the world in 2050

M2 PRESSWIRE

Critical choices today will define the world in 2050 ©1994-2006 M2 COMMUNICATIONS LTD

PARIS - Long-term thinking produces better decisions today. By envisioning the world of 2050, we can pinpoint the critical development choices that we have to make now

http://www6.lexisnexis.com/publisher/EndUser?Action=UserDisplayFullDocument&orgId=1925&topicId=100002048&docId=l:396540648&start=1



US/Canada News



Investors Seek Climate Change Information

Investors worried about the possible financial fallout from greenhouse gas emissions have asked the Securities and Exchange Commission to require that companies disclose their financial vulnerability to changes in climate. Yesterday, a group of 27 investors who collectively manage more than $1 trillion in assets sent a letter to the S.E.C. chairman, Christopher Cox, asking that financial risks linked to climate change issues be included as part of routine corporate financial reports.

http://www.nytimes.com/2006/06/15/business/15green.html



Wal-Mart, GE, and the Regional Greenhouse Gas Initiative (RGGI)

John Laumer

Wal-Mart has submittted an 11-page position statement to the Regional Greenhouse Gas Initiative (RGGI). You read that correctly.

http://www.treehugger.com/files/2006/06/walmart_and_the.php



AND

Here is the full list of companies that filed comments with RGGI

http://www.rggi.org/stakeholder_comments_model_rule.htm

JK**** I happened to chose this comment letter from Evolution Markets, one of the leading brokers in this space.

http://www.rggi.org/docs/rggi_rule_comments2may06.pdf



BP gives $500m to biofuels research

Tom Stevenson - The Daily Telegraph

BP HAS thrown its weight behind the fast-growing green fuel industry with the promise of $500m ( pounds 270m) to fund research into commercial alternatives to petrol and diesel.

http://www6.lexisnexis.com/publisher/EndUser?Action=UserDisplayFullDocument&orgId=1925&topicId=100002042&docId=l:396317516&start=2



Today, U.S. Senator John McCain (R-AZ) delivered the following address to a symposium on climate change hosted by the Embassy of Norway and the Environmental and Energy Study Institute:

http://mccain.senate.gov/index.cfm?fuseaction=NewsCenter.ViewSpeech&Content_id=1755

JK**** I never know quite what to make of Sen. McCain, but he sure sounds like Al Gore here. Very interesting.



McCain calls for decisive action on climate change

Point Carbon

Outspoken Republican Senator John McCain today called on the next US administration to take action on climate change and to follow the private sector’s lead in tackling rising emissions.

http://www.pointcarbon.com/Home/News/All%20news/Kyoto%20International/International%20negotiations/article16065-883.html

(Subscription required)



The Expanding Role Of State Renewable Energy Policy

Pew Center for Climate Change

Proliferation of State Activity Has National Significance

Washington, DC – A growing portion of U.S. states’ electricity is being provided by renewable energy, according to a report released today by the Pew Center on Global Climate Change. States are using increasingly aggressive and ambitious Renewable Portfolio Standards (RPS) in order to spur economic development and create a reliable and diversified supply of electricity, as well as to reduce greenhouse gas emissions and conventional pollutants. As of mid 2006, 22 states and the District of Columbia have implemented an RPS; well over half of the American public now lives in a state in which an RPS is in operation.

http://www.pewclimate.org/press_room/sub_press_room/2006_releases/rps_release.cfm

JK**** Full report link below in the Events/Reports section



Corn to Be Wild

Will Swarts - Smartmoney

VeraSun Energy (VSE)

Share price as of Wednesday's open: $23.00

Share price now: $30.00

Percent change: 30.4%

Volume: 21.9 million shares

VeraSun Energy (VSE: 27.35, -2.65, -8.8%) shined in its first day of trading. Shares of the nation's No. 2 ethanol producer jumped 30% Wednesday from an opening price of $23 apiece.

http://www.smartmoney.com/onedaywonder/index.cfm?story=20060614&src=fb&nav=RSS20

JK**** Headline of the day winner.



Shares of ethanol producer VeraSun jump 29 percent in IPO

AP

SIOUX FALLS, S.D. Shares of VeraSun Energy jumped more than 29 percent in their trading debut on the New York Stock Exchange today.

The company, based in Brookings, South Dakota, is the nation's second largest ethanol producer.

http://www.whotv.com/Global/story.asp?S=5030274&nav=2HAB



Best Fit, Least Cost, Lowest Carbon: A Revolution in the Power Industry

Joel Levin, Vice President, Business Development, California Climate Action Registry

Traditionally, participants in the power market faced the challenge of “best fit, least cost” when bidding to supply power to utilities and other load-serving entities. If you could supply the power where and when it was needed at a lower price than anyone else, you were well positioned to succeed.

http://www.energypulse.net/centers/article/article_display.cfm?a_id=1282



SSA Terminals Receives Air Quality Improvement Award of Excellence

SEATTLE - SSA Terminals received an "Air Quality Improvement Award of Excellence" from the Port of Long Beach. This award is in recognition of outstanding efforts to reduce emissions from cargo handling equipment.

The Port's 2005 Emissions Inventory for cargo handling equipment indicates a significant overall improvement from baseline 2002 conditions. Nitrogen oxide emissions were reduced by 25%, or nearly 600 tons per year, and particulate matter emissions were reduced by 50%, or over 70 tons per year.

http://seattle.dbusinessnews.com/shownews.php?newsid=80573&type_news=past



NDP releases greenhouse plan

CANADIAN PRESS

OTTAWA — The NDP says it has a plan to slash greenhouse emissions by almost 30 megatonnes over seven years while creating 300,000 jobs.

http://www.thestar.com/NASApp/cs/ContentServer?pagename=thestar/Layout/Article_Type1&c=Article&pubid=968163964505&cid=1150236204043&col=968705899037&call_page=TS_Canada&call_pageid=968332188774&call_pagepath=News/Canada



BP To Invest $500 Million in Biofuels Research Centre

LONDON - BP Plc is to invest $550 million over the next 10 years to establish a centre for biofuels research, the British oil major said on Wednesday. BP Chief Executive John Browne, who has often been a first mover in the oil industry on environmental issues, said his company was in talks with universities in the United States and the UK that could host the new institute.

http://www.planetark.com/dailynewsstory.cfm/newsid/36831/story.htm



Carbon leakage climbs RGGI agenda

Point Carbon

Stakeholders in the northeast Regional Greenhouse Gas Initiative (RGGI) have called on policy makers to address the issue of carbon leakage in the scheme, claiming that inaction could undermine the overall effect of the scheme.

http://www.pointcarbon.com/Home/News/All%20news/Kyoto%20International/article16063-472.html

(Subscription required)



Maryland Legislature Forces Governor into Regional Greenhouse Gas Initiative

H. Sterling Burnett, Ph.D. - In: Environment News

http://www.heartland.org/Article.cfm?artId=19132





European News



Getting serious about global warming

Sophie Hebden and Catherine Brahic - Mail and Guardian

The Kyoto Protocol will cut the developing world's greenhouse-gas emissions -- implicated in runaway global warming -- by at least one billion tonnes by the end of 2012, according to the United Nations.

http://www.mg.co.za/articledirect.aspx?articleid=274619&%3barea=%2fbreaking_news%2fbreaking_news__international_news%2f



Firms 'to waste £500m of energy'

The sheer scale of the energy wasted is staggering and something that businesses can no longer afford to ignore

Tom Delay, Carbon Trust

UK businesses will waste more than £500m worth of energy over the summer months, a report has said.

The study for the Carbon Trust says the "staggering" £570m wastage will result in more than eight million tonnes of CO2 being released into the atmosphere.

http://news.bbc.co.uk/1/hi/sci/tech/5080044.stm



Underground fires could bring power to the people

Firm wants to turn coal into gas

Chris Benfield - Yorkshire Post

An electricity company is applying for a licence to turn coal into gas by setting fire to it underground, the Yorkshire Post can reveal.

And a planning application for what is being called "The Coalmine of the 21st Century" is being prepared for submission before the end of this year – provided there are some signs of Government support for the idea.

http://www.ypn.co.uk/ViewArticle2.aspx?SectionID=55&ArticleID=1565679



INTERVIEW - Spain Resists Regional Grab for Water Resources

Reuters

MADRID - Spain will resist attempts by the country's restive regional governments to win control over scarce water resources and will keep rivers under state management, the director general of water said on Wednesday. With the current drought well into its second year and regional elections looming, many of Spain's autonomous regions are pushing for more say over their water reserves.

http://www.planetark.com/dailynewsstory.cfm/newsid/36821/story.htm



Greenpeace calls on ministry to cut number of carbon credits

Prague Monitor

Prague - Greenpeace activists today displayed a banner calling on the Environment Ministry to decrease the number of credits for greenhouse gases on the ministry´s building.

http://www.praguemonitor.com/ctk/?story_id=w34455i20060614;story=Greenpeace-calls-on-ministry-to-cut-number-of-carbon-credits



Other



INTERVIEW - "Myth" that green protection hits economy - UNEP

Reuters - The world must lay to rest a "myth" that protecting the environment harms economic growth, the new head of the U.N. Environment Programme said on Thursday.

Achim Steiner, a 45-year-old German, said he would seek to involve consumers, governments, businesses and activists in developing new economic mechanisms to protect the planet from threats ranging from climate change to pollution.

http://asia.news.yahoo.com/060615/3/2lxve.html



The Ultimate Green Technology Investor Virtual Stock Challenge: Trade Solar, Wind, Ethanol and Green Energy Stocks

GreenTechInvestor.com Creates Forum to Learn about Green Technology and the Winner Drives Away in a ZAP Electric Car

POINT ROBERTS, WA and DELTA, BC, June 15 /CNW/ - Green technology investor portals www.RenewableEnergyStocks.com and www.GreenTechInvestor.com present "The Ultimate Green Tech Investor Virtual Stock Trading Contest" - register now for a chance to win a ZAP electric car or electric scooter as well as gain a valuable education on green technology over the course of this summer's virtual trading competition.

http://biz.yahoo.com/cnw/060615/green_tech_challenge.html?.v=1



Events/Reports



Race to the Top: The Expanding Role of U.S. State Renewable Portfolio Standards

Prepared for the Pew Center on Global Climate Change - June 2006

http://www.pewclimate.org/global-warming-in-depth/all_reports/race_to_the_top/index.cfm



"EM Market Insights" series, Northwestern Lights

http://www.ecosystemmarketplace.com/media/pdf/nw_lights_6.6.2006.pdf



Trucost Releases Ground Breaking Carbon Footprint Ranking Of Uk Investment Funds

Trucost, the environmental research company which produced the environmental reporting guidelines for business for the UK government, has released the first Trucost Carbon Footprint Ranking of UK Investment Funds. For the first time this enables investors to compare investment funds on an environmental basis.

http://www.websitepreview.co.uk/staging/trucost/Carbon_Report.pdf



Chicago Climate Exchange

May Trading Summary

http://www.chicagoclimateexchange.com/news/newsletters/CCX_carbonmkt_v03_i05.pdf



Chicago Climate Futures Exchange

Report on So2 futures

http://www.chicagoclimateexchange.com/news/newsletters/CCFE_sulfurmkt_v03_i05.pdf



Environmental Trading Congress

Strategies for Succeeding in the Environmental Financial Markets

July 24th - 25th, 2006, New York Helmsley, NYC

http://www.frallc.com/conference.aspx?ccode=b371



9th Annual Renewable Energy and Energy Efficiency Expo and Forum

Tuesday, June 20, 2006

9:00 am – 5:00 pm , 345 Cannon House Office Building (Caucus Room)

http://www.eesi.org/briefings/2006/NonEESIEvents/5.20.06SECExpo.htm







Chicago Climate Exchange



Chicago Climate Futures Exchange SO2 Allowance

Cash and Futures Market Prices Survey Report

Thursday, June 15, 2006-11:45 a.m. Central Time Report



SO2 Allowance Cash Market Survey

Vintage Bid Offer Last

2006 (or earlier) $595 $605 $610 (June 15)

2007 $590 $600



Cash Market Price Survey Overview

The SO2 cash market price information provided above reflects central values
of price ranges gathered from randomly selected market participants from energy,
brokerage and financial firms. The 9:30 a.m. Central Time report is based on information
gathered between 9:10 and 9:25 a.m. Central Time. The 11:45 a.m. Central Time report is based
on information gathered between 11:25 and 11:40 a.m. Central Time.



CCFE SO2 Futures Market Prices

June 15, 2006 Mid-Day Price

Contract Price

June 2006 $598

July 2006 $603

Aug 2006 $602



CCFE SO2 futures contracts require sellers to deliver current or earlier vintage (see CCFE Member Advisory 2005-11 for details).



Disclaimer

Cash market information provided herein is a summary of quotes provided to CCFE
by market participants. The information does not represent a recommendation, trading
advice or prediction of market conditions CCFE takes no responsibility for any decisions

made on the basis of this information.






The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.





June 15, 2006



Lead Stories



Hurricane season puts spotlight on weather hedging

By David Wigan

LONDON (Reuters) - Extreme weather such as the hurricanes expected to batter the southern United States in coming weeks is fuelling demand for complex weather derivatives to hedge volatile commodity prices. After Hurricane Katrina struck the oilfields and refineries of the U.S. Gulf last year the cost of petrol and gas spiked to record highs. Energy producers have since flocked to weather-swaps in a bid to limit potential losses. The Chicago Mercantile Exchange (CME), the largest futures exchange in the U.S., traded a record 867,000 weather contracts last year, compared with 122,000 in 2004, and says it is set to equal or beat the record this year.

http://news.reuters.com/newsArticle.jhtml;jsessionid=X20AAFV0YF0CQCRBAEZSFEY?type=reutersEdge&storyID=12528284



The Derivatives World is Flat

by CFTC Commissioner Walt Lukken

Keynote Address of CFTC Commissioner Walter L. Lukken before the International Swaps and Derivatives Association's Energy, Commodities and Developing Products Conference, Houston, Texas, June 14, 2006

http://www.cftc.gov/opa/speeches06/opalukken-20.htm



Investors Seek Climate Change Information

Investors worried about the possible financial fallout from greenhouse gas emissions have asked the Securities and Exchange Commission to require that companies disclose their financial vulnerability to changes in climate. Yesterday, a group of 27 investors who collectively manage more than $1 trillion in assets sent a letter to the S.E.C. chairman, Christopher Cox, asking that financial risks linked to climate change issues be included as part of routine corporate financial reports.

http://www.nytimes.com/2006/06/15/business/15green.html



TRADE-FREEZE BUTTON

HOW NYSE SPECIALISTS STOPPED BUY/SELL ORDERS

By RODDY BOYD

June 15, 2006 -- The trial of two New York Stock Exchange traders is likely to delve into whether the pros on the Big Board floor abused their ability to "freeze" - or hold - new orders to buy or sell stocks, The Post has learned. In Big Board trading floor slang, "freezing the book" referred to a specialist's right to essentially stop new orders in a stock that was shifting rapidly in price. It came into being as electronic trading took hold in the late 1990s, doubling and tripling the speed of trading.

http://www.nypost.com/business/trade_freeze_button_business_roddy_boyd.htm



LANGONE'S 'LICENSE TO STEAL' CRACK NOT TOO SLICK

By JOHN CRUDELE

WHILE being grilled by prosecutors about his friend Dick Grasso, Ken Langone — head of the NYSE compensation committee — had this to say: "There's an old saying, that if you have a seat on the New York Stock Exchange, it's a license to steal.

http://www.nypost.com/business/langones_license_to_steal_crack_not_too_slick_business_john_crudele.htm



POL STOKES WORLD WAR OVER EURO EXCHANGE

By ZACHERY KOUWE

June 15, 2006 -- U.S. politicians are finally taking aim at the German and French officials trying to scotch the New York Stock Exchange's multibillion dollar merger with pan-European stock market Euronext. Yesterday, Rep. Joseph Crowley, a Democrat who represents the Bronx and Queens, took aim at the Axis of Weasel at a Congressional hearing on foreign investment in the U.S.

"We're already experiencing some opposing views from Europe, particularly France and Germany, and I plan to call the ambassadors into our office and find out just what those views are," Crowley said.

http://www.nypost.com/business/pol_stokes_world_war_over_euro_exchange_business_zachery_kouwe.htm



Hedge Funds and the Convergence of Market Results

What ever happened to noncorrelated assets? Modern portfolio theory suggests that investors should spread their funds among a wide variety of asset classes so that when one sector gets hit, another may prosper. That seems like a good idea until a selling wave engulfs pretty much all markets, as has been happening these past few days. On Tuesday, stocks and bonds continued their plummet in the

http://www.nysun.com/article/34505



TSX Group Returning To China

JUNE 15, 2006 (TORONTO) –TSX Group is sending business development officials to the northern region of China with the aim of raising awareness of Canada’s capital markets and attracting international listings.

http://www.tsx.com/en/news_events/news_releases/6-15-2006_TSXGroup-ReturningToChina.html



Ex-KL trader ignored asset freeze

In the latest twist in the saga of failed hedge fund KL Financial, head trader John B. Kim admits he defied a federal asset freeze by using money earmarked for investors to speculate on futures contracts — and that he quickly lost $650,000.

http://www.palmbeachpost.com/news/content/business/epaper/2006/06/15/a1d_kl_0615.html?cxtype=rss&cxsvc=7&cxcat=6



ASX Sacrifices CEO To Save SFE Merger

It's tough at the top of Australian business: as Australian Stock Exchange CEO, Tony D'Aloisio has just found out.

http://au.biz.yahoo.com/060615/27/ra33.html



NYSE tries to damp Euronext concern

By John Authers in New York

The NYSE has tried to assuage alarm in Europe that its proposed merger with Euronext, the pan-European stock exchange operator, would impose US regulation on European companies, and said the worries were "clearly overdone". "The transaction is structured to ensure local regulation of the combined group's marketplaces," said David Karp of the New York law firm Wachtell Lipton Rosen & Katz, which advised the NYSE on the deal, in an interview with the Financial Times.

http://news.ft.com/cms/s/a5ffda7a-fbe6-11da-b1a1-0000779e2340.html



US exchange sector index at all-time low

by Isabelle Clary

The US exchange sector, the rage just three months ago, is fast losing its luster due to prospects of higher interest rates, slower economic growth, weak markets and uncertainty over the NYSE Group-Euronext merger. The six publicly traded US exchange holding companies are all way off their highs set earlier this year or in late 2005. On Tuesday, the CBOE exchange index, EXQ, closed at an all-time low of 73.92 and set an all-time intraday low of 73.18, just three months after setting an all-time high of 104.80 on March 16. The Chicago Board Options Exchange launched the index in January, with five exchanges. CBOE rebalanced the index in March to include NYSE Group, when it started trading following its acquisition of Archipelago. The index was also split by a factor of five to make it easier to manage when other exchanges are added.

http://www.financialnews-us.com/index.cfm?contentid=1045169930&page=ushome&cid=VVM1MzA%3D&uid=9606-5006-781421-813908



NYSE's Coup Stirs Political Opposition in Europe

By JENNY ANDERSON and HEATHER TIMMONS

A trans-Atlantic deal that looked like a strategic coup for the newly public NYSE Group — its proposed acquisition of the pan-European stock exchange Euronext — appears to be turning into a quagmire.

http://www.nytimes.com/2006/06/15/business/worldbusiness/15place.html?_r=3&adxnnl=1&oref=slogin&adxnnlx=1150376841-qwIoEnMoLLxlKXlum9Eq0w&oref=login



Qualms over U.S. regulation cloud trans-Atlantic bourse merger

International Herald Tribune - 1 hour, 17 minutes ago

A trans-Atlantic deal that looked like a strategic coup for the newly public NYSE Group - its proposed acquisition of the pan-European stock exchange Euronext - appears to be turning into a quagmire.

http://www.iht.com/articles/2006/06/15/business/nyse.php



Traders call the shots on Wall Street

By Peter Thal Larsen

When Hank Paulson took joint charge of Goldman Sachs in 1994, the investment bank was enduring one of the worst years in its recent history. Sudden swings in the financial markets had left the private partnership nursing heavy losses on its proprietary trading portfolio. The deficit wiped out income from Goldman's corporate finance operations and the firm narrowly avoided slipping into the red.

http://news.ft.com/cms/s/77fb33dc-fbd1-11da-b1a1-0000779e2340.html



Environmental Trading News



On this date in history:

In 1752, Benjamin Franklin, in a dangerous experiment, demonstrated the relationship between lightning and electricity by flying a kite during a storm in Philadelphia. An iron key suspended from the string attracted a lightning bolt.

http://www.upi.com/NewsTrack/view.php?StoryID=20060612-094012-7226r



Biodiesel causing headaches down under

SYDNEY, June 15 (UPI) -- Australia is beginning to have reservations about the rush to biofuels caused by high oil prices. A leading insurance broker says the fuel industry is open to exploitation and error because pressure to adopt such alternative fuels as biodiesel has eclipsed the government's ability to regulate the industry, The Age newspaper reported Thursday.

http://www.upi.com/NewsTrack/view.php?StoryID=20060615-075422-3048r



For more environmental trading news, subscribe to the Environmental Markets version of the John Lothian Newsletter edited by Jim Kharouf.

Click here to subscribe: jimkharouf-request@johnlothiannewsletter.com?subject=subscribe



Exchange & ECN News



CBOT Holdings to Release 2006 Second Quarter Financial Results on Thursday, July 20, 2006

CBOT Holdings, Inc., holding company for the Chicago Board of Trade (CBOT) (NYSE: BOT), one of the leading global derivatives exchanges, today announced that it will release financial results for its 2006 second quarter, ending June 30, 2006, on Thursday, July 20, 2006. 06.14.06

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1036+39147,00.html



Holiday Schedule - Independence Day

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1032+39148,00.html



Reminder: Covered CME Eurodollar Options: User-Defined Spreads Phase I

http://www.cme.com/trading/get/adv/18932.html



Reminder: CME Clearing and CME Globex Contra-party Information Changes

http://www.cme.com/trading/get/adv/18931.html



Important Customer Market Data Alert

http://www.cme.com/trading/get/adv/18930.html



CME Globex Notices: June 12, 2006

http://www.cme.com/trading/get/adv/18944.html



Reminder: Ex-Pit Transactions on the CME Globex Platform

http://www.cme.com/trading/get/adv/18933.html



CME Eurodollar Month versus Pack Spreads Additional Listings

http://www.cme.com/trading/get/adv/18942.html



CME Economic Derivatives: Core CPI Launch

http://www.cme.com/trading/get/adv/18934.html



Interest Rate SLEDS/Globex Price Adjust Changes postponed until 6/26/06

http://www.cme.com/clearing/clr/clradv/18946.html



Continuous Linked Settlement (CLS) Deadlines

http://www.cme.com/clearing/clr/clradv/18948.html



Local Community Side-by-Side Participation Alternatives

The Special Transition Committee is presently considering various options to assist and facilitate the local floor community’s full participation in side-by-side trading. To that end, the Committee would like to urge the locals to take advantage of the currently available opportunity to apply and register for a headset. Use of a headset will enable a local to remain an active pit trader with the additional advantage of having simultaneous/direct access to quotes on the cash-settled contracts. This option is currently available and the local community is urged to take immediate action to register for the headset. Please note that upgraded headsets that provide enhanced quality and functionality are on order and will be available shortly.

http://www.nymex.com/notice_to_member.aspx?id=ntm319&archive=20060



New York Stock Exchange To Delay Trading on the American Depositary Shares of Schering AG

http://www.nyse.com/press/1150279538445.html



NYSE Regulation, Inc. Board of Directors Welcomes Three Additional Members

http://www.nyse.com/press/1150279536024.html



History of Stock Trading Floor

http://www.tse.or.jp/english/guide/history/floor/index.html



History of the Kabuto-cho district

http://www.tse.or.jp/english/guide/history/kabuto/index.html



Kabuto-cho places of interest

http://www.tse.or.jp/english/guide/history/kabuto/site.html



Corporate Philosophy of TSE

http://www.tse.or.jp/english/guide/philosophy/index.html



Shareownership Survey

http://www.tse.or.jp/english/data/research/shareownership.html



ASX Appoints Managing Director and CEO

http://www.sfe.com.au/content/news/mediareleases/2006/mr_20060614_01.pdf



Avanza extends its membership on the Nordic Exchange

http://www.omxgroup.com/omxcorp/presscenter/pressreleases/Observer_Article/?id=2006061520580&company=0



KSE makes changes in stock trade system

KARACHI: The Board of Directors of the Karachi Stock Exchange at its emergency meeting that continued late into night on Wednesday decided to make changes in the circuit breaker mechanism, prohibited short selling in futures trade and increased the number of scripts eligible for the continuous funding system.

http://www.dailytimes.com.pk/default.asp?page=2006%5C06%5C15%5Cstory_15-6-2006_pg7_44



Dubai Mercantile Exchange Unveils Details Of Oman Crude Oil Futures Contract To The Asian Market

http://www.exchange-handbook.co.uk/news_story.cfm?id=59945



BATS ECN Now a Destination on Lava Platform

KANSAS CITY, Mo. & NEW YORK----June 15, 2006--BATS Trading, Inc., and Lava Trading Inc., today announced that Lava will provide direct market access to the BATS ECN. BATS is a leading technology firm that develops and operates a high volume, electronic trading platform for anonymous matching of US equity securities.

http://biz.yahoo.com/bw/060615/20060615005121.html?.v=1



Deutsche Boerse A Fallen Angel; In Demand

[Dow Jones] Deutsche Boerse (DB1.XE) higher as investors seek out "fallen angels", or stocks which have previously posted above-average decreases, says a trader.

http://www.newratings.com/analyst_news/article_1298134.html



Regulatory News



The SEC News Digest

The SEC News Digest provides daily information on recent Commission actions, including enforcement proceedings, rule filings, policy statements, and upcoming Commission meetings.

http://www.sec.gov/news/digest/2006/dig061406.txt



FSA announces further work on the future of retail distribution

http://www.fsa.gov.uk/pages/Library/Communication/PR/2006/056.shtml



Flaherty releases financial services white paper

Goal is to make financial services sector more efficient and consumer-friendly

By James Langton

The Minister of Finance yesterday released the federal government’s white paper updating financial institutions legislation.

http://www.investmentexecutive.com/client/en/News/DetailNews.asp?Id=34377&IdSection=8&cat=8



S.E.C. Asked Grasso if He Buoyed Stock

By JENNY ANDERSON

Richard A. Grasso faced questions from regulators about whether he prodded traders to support the A.I.G.'s share price while he was head of the New York Stock Exchange.

http://www.nytimes.com/2006/06/15/business/15aig.html



Japan's Top Banker Owned Stake in Scandal-Hit Fund

By MARTIN FACKLER

The Japanese central bank governor revealed that he invested in a fund implicated in an insider-trading scandal.

http://www.nytimes.com/2006/06/15/business/worldbusiness/15bank.html



Dick Grasso invoked his Fifth Amendment right over 150 times in a 2005 deposition looking into potentially improper NYSE trading.

http://online.wsj.com/article/SB115033931984180901.html?mod=home_whats_news_us



Speech By Callum McCarthy, Chairman, UK Financial Services Authority - Muslim Council Of Britain Islamic Finance And Trade Conference, 13 June 2006

http://www.exchange-handbook.co.uk/news_story.cfm?id=59944



GRASSO PASS-O

HE TOOK THE FIFTH 168 TIMES WITH SEC

By JANET WHITMAN

June 15, 2006 -- Former Big Board chief Dick Grasso, who clammed up when questioned by federal regulators a year ago, told Eliot Spitzer's troops insurance titan Hank Greenberg was often "cosmically unhappy" with the way his company's shares traded on the New York Stock Exchange, according to...

http://www.nypost.com/business/grasso_pass_o_business_janet_whitman.htm



FRANCE UPHOLDS SOROS CONVICTION

George Soros failed in a bid to overturn an insider-trading conviction at France's highest appeals tribunal, but vowed to pursue an appeal in European court to clear the legal stain that mars his 40-year investing career.

http://www.nypost.com/business/france_upholds_soros_conviction_business_.htm



Investments - Indexes - Managed Futures - Managed Funds



Annual report 2006 Full PDF (3.12MB)

http://www.mangroupplc.com/investor/AnnualReports/AR2006.pdf



History suggests scant value in munis

By Dean Patterson

NEW YORK (Reuters) - Investors would lose big in the U.S. municipal bond market if tax-exempt yields moved back to levels more in line with their historical averages. Most munis pay investors far less than their 10- and 20-year average yields, even after 16 straight rate hikes by the Federal Reserve and talk that benchmark Treasury yields may not be far from their peaks this rate cycle.

http://news.reuters.com/newsArticle.jhtml;jsessionid=X20AAFV0YF0CQCRBAEZSFEY?type=reutersEdge&storyID=12539675



Bubble, Bubble, Who's in Trouble?

Worried investors are hunting for safe havens. But with so many bubbles about, it's anyone's guess which way to turn

http://www.businessweek.com/bwdaily/dnflash/jun2006/nf20060615_5460_db016.htm



Finding the Edge

By Steven M. Sears

IN THE EDUCATION OF an investor, information, arguably more than money, ultimately becomes the decisive factor to successfully navigating the financial markets. This realization often occurs after amassing a meaningful portfolio and an understanding that the market hurts most of the people, most of the time. At this point, investors usually find they're more concerned with not losing the money they've amassed, and they develop an insatiable appetite for insightful information upon which to base investment decisions.

http://www.smartmoney.com/contrarian/index.cfm?story=20060614



**** Note: Steven M. Sears pioneered coverage of the options markets for Dow Jones Newswires and The Wall Street Journal. His reporting into exchange-listing practices preceded Department of Justice and Securities and Exchange Commission investigations that forced a dramatic overhaul of the options industry's regulatory structure. He worked as senior advisor to the chairman of the Philadelphia Stock Exchange and was director of corporate affairs at the International Securities Exchange. He is currently senior vice president at Capital MS&L, an international investor-relations firm.



Hedge fund executives want publicity rules changed

NEW YORK (Reuters) - U.S. securities regulations restrict the hedge fund industry from defending itself adequately against a bad rap in public perceptions as being secretive and prone to fraud, top hedge fund officials said at a conference on Wednesday.

http://news.moneycentral.msn.com/provider/providerarticle.asp?feed=OBR&Date=20060614&ID=5797536



Operational Risk - Strong Relationships and Superior Client Service Minimize Asset Losses for Investment Managers

Asset management organizations can lower client termination rates and stem asset outflows by improving their relationship management and client service capabilities. Managers with poorly rated client service functions or relationship management efforts are at a significantly higher risk for client termination than competitors with strong capabilities in these areas, even taking into account past performance.

http://www.garp.com/risknews/newsfeed.asp?Category=6&MyFile=2006-06-15-12998.html



Jabre sets up fund for his own fortune

Under FSA investigation hedge fund trader Philippe Jabre has set up a new hedge fund to manage his own wealth.

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2006/06/15/cnjabre15.xml



PFG's Quarterly CTA Challenge Winner Receives $250,000 Allocation

CHICAGO----June 15, 2006--Peregrine Financial Group, Inc. completed its fourth CTA Challenge on May 31, 2006. The competition, which will culminate in a championship showdown in 2007 comprised of the first and second place winners from each quarterly contest, identifies and showcases emerging Commodity Trading Advisor talent, strategies and techniques.

http://biz.yahoo.com/bw/060615/20060615005584.html?.v=1



Reports



Bond Talk Today's Events

http://www.bondtalk.com/global.cfm?S=todaysevents



USDA Today

http://www.usda.gov/nass/PUBS/TODAYRPT/TODAY.HTM



Miscellaneous News



Jacob Weisberg: Death styles of the rich and famous

There are diseases of poverty, such as TB and malaria. There are diseases of affluence, such as type 2 diabetes. Then there are the hazards of extreme affluence.

http://news.ft.com/cms/s/ff016c6a-fbcd-11da-b1a1-0000779e2340.html



Bear Stearns 2Q Profit Jumps 83 Percent

http://www.chicagotribune.com/business/ats-ap_business11jun15,1,7064293.story?coll=sns-business-headlines



The Economist magazine banned in Iran

http://www.chicagotribune.com/business/chi-0606150180jun15,1,7800784.story?coll=chi-business-hed



Stock spotlight: OptionsXpress

Online brokerage OptionsXpress got caught in the "what have you done for me lately" trap Wednesday, and its stock took a drubbing.

http://www.suntimes.com/output/business/cst-fin-spot15.html



OptionsXpress shares drop on May volume report

http://www.chicagobusiness.com/cgi-bin/news.pl?id=20990



Securities Industry News And Financial Insights Announce SecuritiesTech 50 Rankings For Front Office Solution Providers Rankings Showcase Leading Global Capital Markets Technology And Institutional Providers

http://www.exchange-handbook.co.uk/news_story.cfm?id=59942



Executives Say Mergers and Acquisitions Fail to Create Adequate Value

Despite the rapid pace of mergers and acquisitions activity, companies executing these deals frequently come up short on creating expected value, according to a survey of more than 400 US and European corporate executives. The survey also shows that more than half of the most recent deals in which the executives have participated have been cross-border transactions.

http://www.garp.com/risknews/newsfeed.asp?Category=6&MyFile=2006-06-15-13000.html



Big Payday at Man Group

By Emma Trincal

The top three executives at the U.K.'s Man Group were the recipients of hefty raises last year after performance fees more than tripled at the world's largest listed hedge fund firm

http://www.thestreet.com/_tscrss/markets/hedgefunds/10291796.html



State Street's FX Connect Exceeds $99 Billion in Daily Trading Volume

BOSTON----June 15, 2006--State Street Corporation , the world's leading provider of financial services to institutional investors announced today that its FX Connect multi-bank electronic foreign exchange trading system recently exceeded $99 billion in a single trading day.

http://biz.yahoo.com/bw/060615/20060615005572.html?.v=1



Observations – Statistics - Commentary



Have a field day

ALTERNATIVE CAREER: There is a rising shortage of commodity brokers not only in India but globally too. If you’re a graduate with an analytical bent of mind, have a good nerve for figures, an appetite for trading, good communication skills and a knack to handle people, then a career in commodities broking is what awaits you.

http://www.business-standard.com/common/storypage.php?autono=95044&leftnm=6&subLeft=0&chkFlg=



**** Rising shortage???? Falling Surplus?



++++



Feds fine Duluth man $240,000

COMMODITY POOL: Michael J. Liskiewicz is accused of defrauding investors by misappropriating funds and falsifying account statements.

BY PETER PASSI

A Duluth man will pay a $240,000 fine to settle a case brought against him by the U.S. Commodity Futures Trading Commission. Michael J. Liskiewicz, 49, of Lakeside engaged in fraud, misappropriated funds and issued false account statements to conceal losses, according to commission findings made public Tuesday. In all, nine parties invested about $193,000 in a fund that Liskiewicz managed, ostensibly to trade in Standard & Poor's futures contracts. But the commission found that the funds were squandered through unsuccessful trades and misappropriations. Liskiewicz allegedly put some investment funds to personal use, tapping the accounts to cover gambling expenses, movie rentals and hardware store purchases, among other things.

http://www.duluthsuperior.com/mld/duluthsuperior/14814171.htm



**** Committed fraud to feed his Home Depot addiction?? Who can blame him?



+++++



NYMEX-ICE Energy Futures Scorecard





ICE Brent Volume
183,950

ICE WTI Volume
134,775




NYMMEX WTI (physical) Volume
272,406

NYMEX WTI Financial Volume
15,419

NYMEX Mini Gasoline
45

NYMEX Mini Heating Oil
2,265

NYMEX Mini Light Crude Oil
45,595

NYMEX Mini Natural Gas
24,870

NYMEX Mini Complex
72,775







****





Chicago Electronic Trading Scorecard for Previous Trading Day




Percent Electronic





CBOT:
72.28%

CME (excluding TRAKRS):
67.43%

CME Eurodollar Futures:
88.14%

CME Eurodollar Options
7.01%

CME Live Cattle Futures:
0.38%

CME Currency Products:
84.36%

CBOT Soybeans Futures:
2.79%




CBOT Options:
16.71%

CME Options:
9.66%




Volume





OneChicago Volume:
41,815

Eurex US Volume:
10,047

CBOE Futures Exchange Volume:
4,051




Market Share





CBOT 100 oz. Gold Futures Volume:
39,432

NYMEX 100 oz. Gold Futures Volume:
77,727

CBOT Share:
33.66%




CBOT 5000 oz. Silver Futures Volume:
5,802

NYMEX Silver Futures Volume:
23,384

CBOT Share:
19.88%




CBOT Mini Gold Volume:
15,845

CBOT Mini Silver Volume:
4,745

CBOT 100 oz. Gold Options:
1,185

CBOT Metals Complex:
67,009

CBOT 100 Oz. Gold Open Interest:
8.22%

CBOT 100 Oz. Gold Give Up %:
11.22%




Notes: CME’s volume yesterday of 10,219,091 (excluding TRAKRS) was the second highest daily volume in exchange history and their Globex volume of 6,891,089 was the second highest electronic trading volume. Additionally, the CME set at volume record in S&P 500 options. The CME set open interest records yesterday in Interest Rate Products, Eurodollar Options, S&P 500 Options, EMini S&P Options, Emini Nasdaq Futures, Russell 2000 Futures, Emini MidCap Futures, Emini Russell and British Pound futures.



Regards,



John J. Lothian

Publisher

John Lothian Newsletter

www.johnlothiannewsletter.com




Futures Brokerage - Business Intelligence




John J. Lothian
President- Electronic Trading Division
The Price Futures Group, Inc.
141 West Jackson Blvd., Suite 1340A
Chicago, IL 60604

jlothian@pricegroup.com
johnlothian@johnlothian.com
IM: LothianJohnJ
http://www.pricegroupetd.com
tel:
tel2:
fax:
mobile:
+1 312-264-4350
+1 800-713-0215
+1 312-264-4399
+1 312-203-5515










Add me to your address book...
Want a signature like this?








Disclaimer: The John Lothian Newsletter and Environmental Markets newsletter are products of John J. Lothian & Company, Inc. The opinions expressed in the John Lothian Newsletter and Environmental Markets are strictly the opinions of John J. Lothian & Company, Inc., and not necessarily those of Mr. Lothian’s employer, The Price Group and its management, and is intended solely for informative purposes and is not to be construed, under any circumstances, by implication or otherwise, as an offer to sell or a solicitation to buy or trade in any commodities or securities herein named. Information is obtained from sources believed to be reliable, but is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. Security futures are not suitable for all customers.



Futures and options trading involve risk. Past results are no indication of future performance.



This is an opt-in newsletter. If you wish to unsubscribe, please check the address of list you are receiving the newsletter from and then click on the appropriate link below.



mailto:johnlothiannewsletter-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter1-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter2-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter3-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter4-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter5-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:jimkharouf-request@johnlothiannewsletter.com?subject=unsubscribe



If the unsubscribe links above do not work for you, please send an email to johnlothian@johnlothian.com with unsubscribe in the subject line.



The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.

June 14, 2006



Edited by Jim Kharouf (jkharouf@sbcglobal.net)



US/Canada News



Heading off a 'Coal War' with China

Derrick Z. Jackson - Boston Globe

IN 1972, while toasting Premier Zhou En-Lai during the landmark visit to China, President Nixon asked, ``What legacy shall we leave our children? Are they destined to die for the hatreds which have plagued the old world, or are they destined to live because we had the vision to build a new world?"

Despite a disgraced presidency, Nixon was credited with melting that aspect of the Cold War.

http://www.boston.com/news/globe/editorial_opinion/oped/articles/2006/06/14/heading_off_a_coal_war_with_china/



Coal Hard Cash for Peabody?

Business Week

The world's largest private coal producer has an innovative plan to move into the power business, but environmental groups are up in arms

http://www.businessweek.com/bwdaily/dnflash/jun2006/nf20060613_6551_db016.htm?campaign_id=rss_daily



Ontario joins joint lawsuit against coal-fired electricity plants.

Stephen Leahy

US-based coal-burning power companies have become the target of international lawsuits so Canadians can one day hope to breathe cleaner air. Last month, the province of Ontario joined the states of New York, New Jersey and Connecticut, along with two environmental groups, in a legal action against seven coal-fired electricity plants run by Duke Energy Corp.

http://www.straightgoods.ca/ViewFeature6.cfm?REF=375



Senate panel approves mercury reduction bill

Dan Reynolds - Pittsburgh Business Times

A state Senate environmental committee passed a power plant mercury reduction bill Tuesday that clashes with a mercury reduction proposal offered by the administration of Pennsylvania Gov. Ed Rendell.

By a 10-1 vote, the Senate Environmental Resources and Energy Committee approved a bill that would call for an 86-percent reduction in mercury emissions from the state's coal-fired power plants by 2018.

http://www.bizjournals.com/pittsburgh/stories/2006/06/12/daily14.html?from_rss=1



PennFuture Dismayed By Senate Committee Mercury Vote; Vote Out of Step With Majority of Pennsylvanians Who Want Strong Mercury Rules

PR Newswire

Citizens for Pennsylvania's Future (PennFuture) today urged members of the Pennsylvania Senate to reject SB 1201, a bill that would block the state's Department of Environmental Protection's (DEP) proposed rules requiring coal-fired power plants to reduce their toxic mercury pollution by 90 percent by 2015.

http://www.redorbit.com/news/science/536973/pennfuture_dismayed_by_senate_committee_mercury_vote_vote_out_of/index.html?source=r_science



Ethanol to play a growing role in ADM's future

Robert Manor - Chicago Tribune

Our investments will be robust

Archer Daniels Midland Co. will continue to expand its ethanol business, Chief Executive Patricia Woertz said Tuesday, as the company works to transform itself into a food and energy giant.

http://www.topix.net/content/trb/4204149936012058320110074112251109464437



VeraSun Jumps at Open

TSC Staff

Ethanol producer VeraSun (VSE:NYSE - commentary - research - Cramer's Take) surged 31% early Wednesday in its New York Stock Exchange debut.

Shares of the Brookings, S.D., corn fueler jumped to $30 early Wednesday. The company priced its 18.3 million-share initial public offering at $23 Tuesday. VeraSun is raising $421 million in the deal, which had been expected to price at $20 to $22 a share.

http://www.thestreet.com/_tscrss/markets/energy/10291646.html



DPR announces air quality initiative, pledges to meet goals

Western Farm Press

The initiative — which targets air toxins and smog-producing chemicals from pesticide emissions—will achieve state air quality goals by 2008 and set a national standard.

The California Department of Pesticide Regulation recently launched a comprehensive pesticide initiative to improve air quality statewide. The initiative — which targets air toxins and smog-producing chemicals from pesticide emissions—will achieve state air quality goals by 2008 and set a national standard.

http://westernfarmpress.com/news/06-14-06-DPR-pledges-goals/



Nuclear power can lessen oil woes, help environment

The Morning Call

By now, there should be no doubt that the tide is beginning to turn for nuclear power. A near-record amount of nuclear-generated electricity was produced at about 100 U.S. nuclear plants in 2005, and companies are gearing up to build between 12 and 16 reactors so that we have a reliable supply of electricity in the years ahead.

http://www.mcall.com/news/opinion/anotherview/all-saranga6-14jun14,0,302682.story?coll=all-newsopinionanotherview-hed



It's time for Bush to change the climate

St. Louis Post Dispatch

The polar ice sheets are melting faster than anyone predicted. At their seasonal nadir last September, arctic ice floes were 20 percent smaller than the average of the past 25 years. Two studies published earlier this month suggest that large parts of south Florida, the Gulf Coast and Cape Cod could be inundated by rising sea levels in fewer than 100 years.

http://www.thesouthern.com/articles/2006/06/14/opinions/doc443264181ae85789167880.txt



Proof of global warming will come too late

Elizabeth Kolbert -

On June 12, 1992, President George H.W. Bush, appearing at the Earth Summit in Rio de Janeiro, Brazil, signed the U.N. Framework Convention on Climate Change. The convention set the goal of averting "dangerous" human interference with the climate system. After adding his name to it, the president called on world leaders to join him "in translating the words spoken here into concrete action." When he subsequently submitted the treaty to the Senate, it was ratified by unanimous consent.

http://www.casperstartribune.net/articles/2006/06/14/editorial/letters/c152829ba01a66578725718c0078603c.txt



European News



News: Climate Change & Sustainable Energy Bill boosts micro-power

Environment Times

The Climate Change & Sustainable Energy Bil has received a succesful third reading in the House of Commons.

Conservative Shadow Environment Secretary Peter Ainsworth said: "This is an excellent Bill which will not only make the Government more accountable over tackling climate change but also contribute to cutting energy waste and boosting more local and sustainable sources of energy."

http://www.environmenttimes.co.uk/



Blair says rising energy prices have pushed nuclear onto 'world agenda'

AFX

LONDON - Rising energy prices have pushed nuclear power onto the world agenda, said Prime Minister Tony Blair.

http://www.forbes.com/home/feeds/afx/2006/06/14/afx2814237.html



Carbon pricing to encourage new nuclear power stations

Patrick Wintour - The Guardian

The British nuclear industry will build new nuclear power stations without direct state subsidies so long as the government sets a high price on carbon-polluting electricity, Malcolm Wicks, the energy minister, said yesterday. He said a proposed carbon pricing framework will encourage use of all non-carbon electricity sources including renewable energy, nuclear and even micro wind turbines for home supply.

http://politics.guardian.co.uk/green/story/0,,1796945,00.html?gusrc=rss



Lib Dems shun Tories over alliance on climate change

Andrew Grice - The Independent

An attempt by the two main opposition parties to agree a platform on tackling climate change has collapsed after the Liberal Democrats pulled out of the process.

http://news.independent.co.uk/uk/politics/article994067.ece



Scientists urge G8 not to ignore global warming

Jeremy Lovell - Reuters

LONDON - World leaders must not allow concern for energy security to distract them from taking promised action on global warming, top world scientists said on Wednesday.

http://today.reuters.com/news/newsArticle.aspx?type=scienceNews&storyID=2006-06-14T130041Z_01_L14523354_RTRUKOC_0_US-ENVIRONMENT-ENERGY.xml&WTmodLoc=NewsArt-L3-Science+NewsNews-2



EU Assembly Backs Tighter Rules on Water Pollution

Reuters

STRASBOURG - EU lawmakers called on Tuesday for tighter rules to control pollution of Europe's groundwater but fell short of agreeing bloc-wide standards for maximum levels of toxic metals such as mercury and arsenic.

http://www.planetark.com/dailynewsstory.cfm/newsid/36793/story.htm



Homes to be energy rated

Hilary Osborne

Sellers will have to rate the energy efficiency of their homes from June 2007.

Homes put up for sale in England and Wales will have to carry an energy rating similar to those displayed on fridges and washing machines, the government said today.

http://www.guardian.co.uk/climatechange/story/0,,1797250,00.html



Cutting night flights could reduce aircraft?s impact on climate change

A study by the Meteorology Department at the University of Reading suggests that a widespread adoption of night-flying restrictions could help minimise the impact of aviation on our climate. The study published in Nature this week shows that even though only one in four flights over the UK occur during the night these flights are responsible for at least 60% of the climate warming associated with aircraft condensation trails (contrails).

(Sorry, the link did not work but the information seemed relavent.)



Business calld for the UK government to deliver value for money when opening public purse

Sustainable Development International

BUSINESS CALLS FOR GOVERNMENT TO DELIVER VALUE FOR MONEY WHEN OPENING PUBLIC PURSE An independent, business-led Task Force is today (Monday 12th June 2006) calling on the government to lead by example and deliver sustainable value for money when managing the annual public sector spend of £150 billion*.

http://www.sustdev.org/index.php?option=content&task=view&id=1345



WestLB wins Financial Times “Sustainable Bankers of the Year” Award

Sustainable Development International

ImageWestLB AG has been awarded first place in the “Sustainable Bankers of the Year” category at the annual sustainable banking awards organised by the FT and the IFC (International Finance Corporation).

http://www.sustdev.org/index.php?option=content&task=view&id=1346



Heinz Center Environmental Study Backs 'Urgent Action' To Fill Key Data Gaps

Environmental News Network

By The H. John Heinz III Center for Science, Economics and the Environment

WASHINGTON, D.C. — A new report, "Filling the Gaps," released today by The Heinz Center recommends "urgent action" to fill 10 key environmental information data gaps that are preventing better environmental decision-making.

http://www.enn.com/net.html?id=1529





Asia news



China sets up special fund for renewable energy

People's Daily

China's Ministry of Finance (MOF) and State Development and Reform Commission (SDRC) are in talks to establish a special fund for the development of renewable energy, the China Securities Journal reported on Tuesday.

Citing anonymous sources with China's Wind Power Association, the Beijing-based newspaper said the fund would speed up development of renewable energy resources, although the size of the fund was unavailable.

http://english.people.com.cn/200606/14/eng20060614_273831.html



Howard government blind to climate security threat

Press Release: Australian Green Party

Howard government blind to climate security threat: Greens

The Howard government has failed to grasp the security implications posed by climate change, leaving Australia and the region exposed,

Australian Greens climate change spokesperson Senator Christine Milne said today.

http://www.scoop.co.nz/stories/WO0606/S00303.htm



Toyota to Double Hybrid Line-Up Early Next Decade

Reuters

TOKYO - Toyota Motor Corp. said on Tuesday it would double the number of hybrid cars in its vehicle line-up soon after 2010, renewing its endorsement of the technology as critical to reducing pollution and oil dependence.

http://www.planetark.com/dailynewsstory.cfm/newsid/36794/story.htm



Meeting Asia's Sustainable Energy Needs Is a Huge Challenge

Diwesh Sharan, Asia Development Bank

New Delhi, India - Meeting the energy needs of the Asia and Pacific region in a sustainable manner presents a huge challenge, an Asian Development Bank (ADB) Vice-President told a seminar recently. Concerns have grown about energy security in the wake of the recent volatility and upward movement in oil prices, Geert van der Linden said, leading to new ways of thinking about sources and use of energy.

http://www.renewableenergyaccess.com/rea/news/story;jsessionid=A4CBE3E66F26060C0F656BD3E55F36F7?id=45159



Asia Carbon exchange begins to yield fruit

Point Carbon

Asia Carbon International, the Singapore-based company that matches up buyers and sellers for Clean Development Mechanism projects has said that its Netherlands-based project ‘auction’ held with Dutch firm New Values has led to two contracts to be signed, with more on the way.

http://www.pointcarbon.com/Home/News/All%20news/CDM%20&%20JI/Projects/article16048-906.html

(Subscription required)



Other



New environment chief targets poverty

By Richard Black

Environment correspondent, BBC News

Achim Steiner, incoming head of the UN Environment Programme

There must be world citizens by the thousand whose interest in environmental issues started with a childhood spent outdoors in the countryside, fascinated by the ways of nature.

http://news.bbc.co.uk/1/hi/sci/tech/5053210.stm



Events/Reports



Chicago Climate Exchange

May Trading Summary

http://www.chicagoclimateexchange.com/news/newsletters/CCX_carbonmkt_v03_i05.pdf



Chicago Climate Futures Exchange

Report on So2 futures

http://www.chicagoclimateexchange.com/news/newsletters/CCFE_sulfurmkt_v03_i05.pdf



Environmental Trading Congress

Strategies for Succeeding in the Environmental Financial Markets

July 24th - 25th, 2006, New York Helmsley, NYC

http://www.frallc.com/conference.aspx?ccode=b371



How Changes in the Arctic are Affecting the Rest of the World

Thursday, June 15, 2006

8:00 a.m. - 1:00 p.m.

Venue: United States Senate

http://www.eesi.org/briefings/2006/Energy&Climate/6.15.06_ClimateSymposium/6.15.06ClimateSymposium.htm



9th Annual Renewable Energy and Energy Efficiency Expo and Forum

Tuesday, June 20, 2006

9:00 am – 5:00 pm , 345 Cannon House Office Building (Caucus Room)

http://www.eesi.org/briefings/2006/NonEESIEvents/5.20.06SECExpo.htm



General Electric

www.ge.com/ecoreport



Chicago Climate Exchange

Chicago Climate Futures Exchange SO2 Allowance

Cash and Futures Market Prices Survey Report

Wednesday, June 14, 2006-11:45 a.m. Central Time Report



SO2 Allowance Cash Market Survey

Vintage Bid Offer Last

2006 (or earlier) $587 $600 $593 (June 13)

2007 $582 $595



Cash Market Price Survey Overview

The SO2 cash market price information provided above reflects central values
of price ranges gathered from randomly selected market participants from energy,
brokerage and financial firms. The 9:30 a.m. Central Time report is based on information
gathered between 9:10 and 9:25 a.m. Central Time. The 11:45 a.m. Central Time report is based
on information gathered between 11:25 and 11:40 a.m. Central Time.



CCFE SO2 Futures Market Prices

June 14, 2006 Mid-Day Price

Contract Price

June 2006 $596

July 2006 $598

Aug 2006 $601



CCFE SO2 futures contracts require sellers to deliver current or earlier vintage (see CCFE Member Advisory 2005-11 for details).



Disclaimer

Cash market information provided herein is a summary of quotes provided to CCFE
by market participants. The information does not represent a recommendation, trading
advice or prediction of market conditions CCFE takes no responsibility for any decisions

made on the basis of this information.






The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.





June 14, 2006



Lead Stories



Hurdles appear in the race for exchange consolidation

By Jeremy Grant

When the world’s regulators of stock and derivatives exchanges gathered in Hong Kong earlier this month for their annual meeting, an evening trip to the Happy Valley horse racecourse was a chance for some relaxed conviviality. But only two weeks later relations between regulators – and the markets they oversee – threaten to become fraught with uncertainty.

http://news.ft.com/cms/s/0a2e4456-fbc8-11da-b1a1-0000779e2340.html



NYSE MELTDOWN

WITH SHARES DOWN 18%, EURONEXT DEAL FADES

By RODDY BOYD

June 14, 2006 -- The month-long swoon that has ripped 32 percent off New York Stock Exchange shares continued yesterday as another wave of investors bailed out of the Big Board. The euphoria of March 9 - when its stock hit a high of $80.50, one day after it went public - seems a distant memory for the...

http://www.nypost.com/business/business.htm



Questions for Europe as exchanges combine

In the hullabaloo over the future of Euronext, the myriad interests are so vocal and varied that they risk drowning out a crucial question: What outcome will do most to improve Europe's lackluster economic growth?

http://www.iht.com/articles/2006/06/13/business/exchange.php



TSX CEO eyes cross-border deals

The Toronto Stock Exchange isn't looking overseas for a major deal to compete with bigger U.S. rivals. Instead, Chief Executive Richard Nesbitt said Friday the TSX hopes to become a North American financial powerhouse by acquiring an American futures exchange.

http://origin.miami.com/mld/miamiherald/business/international/14784608.htm?source=rss&channel=miamiherald_international



TSX Group CEO calls for Canadian Government support for freer trade in securities

http://www.tsx.com/en/news_events/news_releases/6-13-2006_TSXGroup-CEOCallsForFreerTrade.html



OSC approves Pure Trading

New alternative trading market will increase competition among Canadian stock exchanges

Canadian Trading and Quotation System Inc. (CNQ) said today that the Ontario Securities Commission has approved CNQ’s application to operate Pure Trad...

http://www.investmentexecutive.com/client/en/News/DetailNews.asp?Id=34364&IdSection=148&cat=148



Traders Are All Over, But for the Shouting, Some Use Software

By Aaron Lucchetti

When professional investor Ken Sullivan bought a big pile of Treasury notes recently, he did it surrounded by the sounds of people shouting out prices. It was almost as if he were right there among the brokers on the floor of Chicago's bond-trading pits. Mr. Sullivan was actually a few miles up the city's Chicago River, sitting in the office cubicle where he works. And the shouting didn't come from any humans. It came from his copy of MarketSound, computer software that cranks out pretend trading noises. "I never turn it off," said Mr. Sullivan, a 15-year bond-trading veteran.

http://online.wsj.com/google_login.html?url=http%3A%2F%2Fonline.wsj.com%2Farticle%2FSB115021199043578977.html%3Fmod%3Dgooglenews_wsj



Questions for Europe as exchanges combine

By James Kanter International Herald Tribune

PARIS In the hullabaloo over the future of Euronext, a stock market with suitors on both sides of the Atlantic, the myriad interests are so vocal and so varied that they risk drowning out a crucial question for many Europeans: What outcome, if any, will do most to improve the Continent's lackluster economic growth? After nearly two years of vetting potential partners, Euronext, the pan- European bourse with origins in Paris, has agreed to be taken over by the New York Stock Exchange - spurning an unwelcome approach by Deutsche Börse and disappointing political heavyweights like President Jacques Chirac of France, Chancellor Angela Merkel of Germany and even the European Central Bank president, Jean-Claude Trichet, who rarely weighs in on mergers and acquisitions.

http://www.iht.com/articles/2006/06/13/business/exchange.php



No plans to sell natural gas exchange, TSX says

By David Ljunggren

OTTAWA (Reuters) - TSX Group Inc. (X.TO: Quote), which operates the Toronto Stock Exchange, isn't actively looking to sell its Alberta-based Natural Gas Exchange, Chief Executive Richard Nesbitt said on Tuesday. Last week, the Wall Street Journal said the New York Mercantile Exchange was in talks with the TSX regarding an alliance and possibly purchasing the exchange. "We bought the natural gas exchange in 2004. We really see it as a very important part of our franchise so we're not actively looking for any bids, I can tell you that," Nesbitt told reporters after giving a speech in Ottawa. The Journal cited sources close to NYMEX as saying it could offer the TSX Group 10 percent of its equity for full control of the gas exchange in a deal valued at about $150 million.

http://ca.today.reuters.com/news/newsArticle.aspx?type=businessNews&storyID=2006-06-13T213732Z_01_N13453785_RTRIDST_0_BUSINESS-FINANCIAL-TSXGROUP-COL.XML&archived=False



Indian derivative markets big enough for hedge funds

By Pratima Desai

GENEVA (Reuters) - Despite popular misconceptions, India's derivatives market is big and liquid enough to accommodate hedge funds who want to short sell and protect the downside, speakers at a hedge fund event said on Tuesday. Investors have complained that some India-focussed hedge funds should have been able to limit their losses in recent weeks by using a technique called short selling, which can also be a bet on a lower price for a security in the future. But some didn't use it and, facing losses of around 28 percent since all-time highs on May 11, now have to explain to investors why they charge annual management fees of between 1 and 2 percent and performance fees of up to 20 percent.

http://in.today.reuters.com/news/newsArticle.aspx?type=businessNews&storyID=2006-06-13T214943Z_01_NOOTR_RTRJONC_0_India-254492-1.xml



British billionaire to expand on-line brokerage in Canada

London's richest man Peter Cruddas thinks Canada ideal for continental hub

British billionaire Peter Cruddas is a man of much fortune and these days, he's betting on Canada. The richest man in London and "one of the city's most colourful characters," according to the Sunday Times, came to Toronto this week to raise his profile in the Canadian market. The 52-year-old son of a meat-market porter and a cleaner founded CMC Group PLC 17 years ago with £10,000. Today, the on-line foreign exchange and futures broker employs almost 600 people and is poised to list its shares on the London Stock Exchange. Mr. Cruddas, who owns 94 per cent of the company, confirms his personal fortune is about £830-million ($1.7-billion). He lives in Monaco and travels the world in -- what else? -- his own jet.

http://www.theglobeandmail.com/servlet/story/LAC.20060614.RCRUDDAS14/TPStory/Business



Nasdaq Complains To SEC Of Being Shut Out Of NYSE System

NEW YORK (Dow Jones)--Nasdaq Stock Market Inc. (NDAQ) told federal securities regulators that a problem at the New York Stock Exchange last week left Nasdaq without access to a key Big Board system. Nasdaq, which trades NYSE-listed stocks as well as its own, said in a June 9 letter to the Securities and Exchange Commission that the problem occurred on June 8, "when representatives of the NYSE contacted Nasdaq and stated, without explanation, that access to the NYSE's DOT system would be terminated for orders coming from Nasdaq's Brut broker/dealer."

http://online.wsj.com/article/BT-CO-20060614-704672.html?mod=hps_us_my_companies



Mavericks Owner Cuban to Launch Web Site to Investigate Stock Fraud

DALLAS -- Dallas Mavericks owner Mark Cuban is financing a new Web site that will investigate stock fraud and corporate wrongdoing. The billionaire also said he'll buy and sell stocks based on information before the site publishes it. Mr. Cuban said he has not been a direct victim of fraud but was motivated to start the site by his approach to investing.

"I'm a firm believer that out of [the more than 10,000] public companies the odds are that there are more than just a few crooks and frauds," Mr. Cuban said Tuesday. "Finding them can be rewarding and entertaining."

http://online.wsj.com/article/SB115029111391480059.html?mod=hps_us_my_topics



CUBAN BACKS BIZ-PROBE BLOG

By JANET WHITMAN

Mark Cuban, the billionaire owner of the NBA's Dallas Mavericks, is getting into the investigative news business.

http://www.nypost.com/business/cuban_backs_biz_probe_blog_business_janet_whitman.htm



Eurex New Daily Trading Record Of 12.2 Million Contracts On June 13 - Record Trading In Futures On Dow Jones EURO STOXX 50

http://www.exchange-handbook.co.uk/news_story.cfm?id=59924



OMX launches Nordic Disclosure & News Service

http://www.omxgroup.com/omxcorp/presscenter/pressreleases/Observer_Article/?id=2006061420760&company=0



Sydney Futures chief to head merged exchange

Sydney Futures Exchange chief executive Robert Elstone has won a power struggle for the leadership of Australia's merged equities and futures market.

http://www.indiadaily.com/breaking_news/73326.asp



Elstone Replaces D'Aloisio to Aid ASX Futures Bid

June 14 (Bloomberg) -- Australian Stock Exchange Ltd. plans to replace Chief Executive Officer Tony D'Aloisio to defuse threats to block its A$2 billion ($1.5 billion) acquisition of SFE Corp., the nation's biggest futures exchange.

http://www.bloomberg.com/apps/news?pid=10000080&sid=aIA.CTSAb2_0



Exchange chooses snag-free path to merger

THOSE in the know say Sydney Futures Exchange chief executive Rob Elstone always wanted the top job running the merged Sydney Futures Exchange/Australian Stock Exchange - even more than he wanted the $11 million payout to retire gracefully. But the job wasn't on offer when the big merger was announced a couple of months ago.

http://www.smh.com.au/news/business/exchange-chooses-snagfree-path-to-merger/2006/06/14/1149964606586.html



Sydney Futures chief to head merged exchange

By Lachlan Colquhoun in Sydney

Sydney Futures Exchange chief executive Robert Elstone has won a power struggle for the leadership of Australia's merged equities and futures market.

The board of the larger Australian Stock Exchange acquiesced to pressure from SFE's institutional shareholders and agreed that Mr Elstone, and not ASX chief executive Tony D'Aloisio, would be the new chief executive of the merged group.

https://registration.ft.com/registration/barrier?referer=http://news.ft.com/home/us&location=http%3A//news.ft.com/cms/s/c80206c4-fb65-11da-b1a1-0000779e2340.html



There's a hedge to get through before ASX and SFE merge

IT'S beginning to look like the Australian Stock Exchange Ltd board might have to sacrifice their chief executive, Tony d'Aloisio, if they want to get SFE on the terms proposed. It seems 25 per cent of SFE's capital is planning to vote against the deal, which would be enough to kill it, and half of that is because d'Aloisio is going to run the combined business rather than the SFE's reputedly more cost-conscious Robert Elstone.

http://www.theage.com.au/news/business/theres-a-hedge-to-get-through-before-asx-and-sfe-merge/2006/06/13/1149964532783.html



Probe into stock option claims grows

By Jeremy Grant in Washington

The US Department of Justice yesterday said it considered allegations that dozens of US companies might have improperly backdated stock options "very serious", as another company said it was under investigation. More than 40 companies, mostly in the technology sector, are the subject of probes by the US attorneys or the Securities and Exchange Commission - or both - after it emerged that stock options were retroactively awarded to executives to dates that immediately preceded a rise in the company's share price.

http://news.ft.com/cms/s/c9188188-fb41-11da-b4d0-0000779e2340.html



Charges Called for in Option Schemes

Executives guilty of manipulating their stock option grants should be prosecuted to the fullest extent possible, Senator Charles E. Grassley, the chairman of the Senate Finance Committee, said yesterday.

http://www.nytimes.com/2006/06/14/business/14options.html?_r=1&oref=slogin



S.E.C. Opens Fund Rules for Comment

The Securities and Exchange Commission is inviting public comment on the cost of mutual fund governance rules set aside by a federal court in April, a move that leaves open the possibility of reviving or revising them.

http://www.nytimes.com/2006/06/14/business/14fund.html



New China fuel oil exchange given long odds

BEIJING, JUNE 13: China will launch its second petroleum exchange next week to trade fuel oil and possibly, one day, crude and other fuels, but potential participants were dismissive as similar energy markets have struggled in Asia.

http://www.financialexpress.com/fe_full_story.php?content_id=130520



Petroleum Exchange set to trade forwards

The Shanghai Petroleum Exchange Tuesday said it will launch oil forwards trading on August 18.

http://www.thestandard.com.hk/news_detail.asp?pp_cat=22&art_id=20773&sid=8393842&con_type=1



Environmental Trading News



Ethanol gives US good run for fuel and money

http://news.reuters.com/newsArticle.jhtml;jsessionid=EU03VYWGW0XWECRBAELCFFA?type=reutersEdge&storyID=12517470



Fewer night flights could cut climate change impact

http://news.reuters.com/newsArticle.jhtml;jsessionid=EU03VYWGW0XWECRBAELCFFA?type=topNews&storyID=12528949



BP to Invest $500 Million on Biofuels at a Research Center

By JAD MOUAWAD

The energy giant is in talks with several universities as possible sites for the research center but says it has not yet picked a partner.

http://www.nytimes.com/2006/06/14/business/14biofuels.html



For more environmental trading news, subscribe to the Environmental Markets version of the John Lothian Newsletter edited by Jim Kharouf.

Click here to subscribe: jimkharouf-request@johnlothiannewsletter.com?subject=subscribe



Exchange & ECN News







AVAILABLE NOW ONLINE!

The Chicago Board of Trade Handbook of Futures and Options is the definitive source used to understand the mechanics of the futures and options markets. Considered the "Futures and Options Bible," the book is published by the Chicago Board of Trade and McGraw-Hill.

http://www.amazon.com/gp/product/0071457518/qid=1150225927/sr=11-1/ref=sr_11_1/002-9414174-3762402?n=283155



Strike Price Notice - 100 oz Gold, 5000 oz Silver, June 14, 2006

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1032+39122,00.html



Strike Price Notice - Dow, mini sized Dow, June 14, 2006

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1032+39123,00.html



CORPORATE EVENT: Kerr-McGee (KMG) 2 for 1 Stock Split 6/15/06

http://www.cme.com/clearing/clr/clradv/18929.html



Expert Commission, Indices Committee

Paris, 14 June 2006 - In view of the outstanding public offer for ARCELOR shares and established practice in such circumstances, the Expert Commission (Indices Committee) has decided to remove temporarily ARCELOR as a component stock of the CAC 40 and SBF 120 indices at the close of trading on 16 June, 2006.

http://www.euronext.com/news/press_releases/0,4159,1732_8275,00.html



Cover story: NYSE Group and Euronext Announce Merger

The June NYSE Group newsletter discusses the U.S.-European deal to create a global exchange.

http://www.nyse.com/about/publication/newsletter.html



NYSE Regulation, Inc.'s Latest Edition of the “NYSE Informed Investor” Series Advises: The Start Of Hurricane Season Is Time For Investors To Be Prepared For Disaster

http://www.nyse.com/press/1150192966290.html



Local Teen Winners of the Stock Market Game to Ring the Opening Bell at PHLX on Thursday, June 15

http://www.phlx.com/news/pr2006/06pr061406.htm



Amex Announces Early Closing on Monday, July 3rd

http://www.amex.com/atamex/news/press/sn_July3_061406.htm



Goldman Sachs Bank AG resigns as a market maker in the ETF segment

http://www.swx.com/swx_messages/2006/swx3306e.pdf



Scenario Calculation for the Equity Indices

Changes in the equity indices effective on 19 June

http://deutsche-boerse.com/dbag/dispatch/en/listcontent/gdb_navigation/press/10_Latest_Press_Releases/Content_Files/13_press/June_2006/pm_news_indices_business_forcast_140606.htm



TRADING OF SHARES OF DAKA DESIGNS LIMITED TO BE CONVERTED TO A SUSPENSION

http://info.sgx.com/webnewscentre.nsf/bcb6f015b16e5258482569a7001af139/48256838002f07b14825718d002bcf26?OpenDocument



NASDAQ Announces May Market Performance Statistics

http://www.nasdaq.com/newsroom/news/pr2006/ne_section06_080.stm



Regulatory News



The SEC News Digest

The SEC News Digest provides daily information on recent Commission actions, including enforcement proceedings, rule filings, policy statements, and upcoming Commission meetings.

http://www.sec.gov/news/digest/2006/dig061306.txt



NFA permanently bars a New Jersey forex firm and the firm's principal

http://www.nfa.futures.org/news/newsRel.asp?ArticleID=1604



CFTC Files and Settles Commodity Pool Fraud Action against Duluth, Minnesota Resident Michael J. Liskiewicz, Finding that He Misappropriated Funds and Concealed Losses

http://www.cftc.gov/opa/enf06/opa5187-06.htm



SEC Complies with Court Order on Mutual Fund Governance Rule

http://www.sec.gov/news/press/2006/2006-95.htm

See also: Request for Additional Comment

http://www.sec.gov/rules/proposed/2006/ic-27395.pdf



Commission Announces SEC Roundtable on Regulation SHO Pilot

http://www.sec.gov/news/press/2006/2006-94.htm

Click to submit comments on 4-520

http://www.sec.gov/cgi-bin/ruling-comments?ruling=4-520&rule_path=/comments/4-520&file_num=4-520&action=Show_Form&title=Comments%20and%20Suggestions%20for%20Roundtable%20on%20Regulation%20SHO%20Pilot



Implications of ownership of a UK Recognised Investment Exchange by a US entity

Callum McCarthy, Chairman of the Financial Services Authority, has made the following statement to encourage discussion of the potential longer term implications of any change of ownership of a UK Recognised Investment Exchange. "The FSA in discharging its responsibilities will always seek to be neutral concerning the nationality of the management or ownership of the entities it regulates. We recognise the benefits that this policy has brought to the UK in assisting in it becoming one of the most international capital markets in Europe and worldwide. We made this policy clear in our public statement of 4 February 2005 on the potential longer term implications of any change of ownership of the London Stock Exchange plc (LSE)1 or its ultimate holding company.

http://www.fsa.gov.uk/pages/Library/Communication/PR/2006/055.shtml



Former SEC Chairman Flays Companies Involved in Options Back-Dating Scandal Addressing Temple University Executive

Former SEC Chairman Harvey Pitt spoke out aggressively yesterday against those companies that have fueled the current public and Congressional debate over excessive executive compensation by fraudulently back-dating option grants.

http://biz.yahoo.com/prnews/060614/nyw126.html?.v=54



Balls eyes impact of foreign firm buying LSE

LONDON (Reuters) - Minister Ed Balls signalled on Wednesday the government was keen for the London Stock Exchange LSE.L to remain subject to regulation if it is taken over by a foreign company.

http://go.reuters.co.uk/newsArticle.jhtml?type=businessNews&storyID=1262127§ion=finance&src=rss/uk/businessNews



Regs Create Revenue

MiFID and Reg NMS will open up new business opportunities in market data sales for the European and U.S. markets, according to a Celent report.

http://www.wallstreetandtech.com/showArticle.jhtml?articleID=189400652



Investments - Indexes - Managed Futures - Managed Funds



GOLDMAN LAYS OFF TRADING ITS OWN $

By TOM BAWDEN

Goldman Sachs, the Wall Street powerhouse that's made billions trading with its own money in the past two years, is scaling back the cash it's putting towards stocks as global stock markets plunge.

http://www.nypost.com/business/goldman_lays_off_trading_its_own__business_tom_bawden.htm



Jim Rogers and Hedge-Fund Crowd Spill Secrets of Winning Trades

June 14 (Bloomberg) -- ``Markets know more than you,'' says Jim Rogers, a founding father of the hedge-fund industry. ``The market is right and you are wrong,'' says Yra Harris, who has traded in Chicago's futures pits for almost three decades.

http://quote.bloomberg.com/apps/news?pid=10000039&refer=columnist_gilbert&sid=ayiB1Y83QkKk



Man Group limits hedge funds in own scheme

IPE.com 14/Jun/06: UK – Man Group, the world’s largest listed hedge fund group, is limiting the hedge fund allocation in its own pension fund on the advice of Watson Wyatt, says chief executive Stanley Fink.

http://www.ipe.com/article_default.asp?article=20978



Canada's hedge funds draw Wall Street attention

Canada's small but rapidly growing hedge-fund industry is attracting increased attention from large Wall Street investment houses and from foreign institutional investors who are impressed, in part, by the fund firms' expertise in oil and mining.

http://news.yahoo.com/s/nm/20060614/wl_canada_nm/canada_financial_canada_hedgefunds_col_1



Japan Pension Fund May Invest More in Hedge Funds, Real Estate

June 14 (Bloomberg) -- Japan's Pension Fund Association, which manages 12 trillion yen ($105 billion) of retirement assets for company workers, said it may increase alternative investments to boost returns as an aging population requires higher payouts.

http://www.bloomberg.com/apps/news?pid=10000101&sid=auG5n6kP_KlM



Alternative Assets Drive Product, Operations Changes

Private equity funds attracted a record AUD261 billion (GBP105 million) last year, while inflows into hedge funds, despite a slight cooling during the year, reached AUD1 trillion worldwide.

http://www.globalmoneymanagement.com/default.asp?page=1&SID=635843&ISS=21942&pressbox=1



Considering commodities - a hot topic

Commodities, like gold, platinum, copper and oil have been a hot topic with the dramatic price increases they have enjoyed in recent years. Given the risks involved in these types of assets, prudent investors should consider investing in them indirectly through professional fund managers.

http://www.stuff.co.nz/stuff/0,2106,3700326a8273,00.html



Reports



Bond Talk Today's Events

http://www.bondtalk.com/global.cfm?S=todaysevents



USDA Today

http://www.usda.gov/nass/PUBS/TODAYRPT/TODAY.HTM



Miscellaneous News



Orc Software Expands Access to Foreign Exchange Markets with Connections To FXall and Hotspot FXi

STOCKHOLM, Sweden----June 14, 2006--Orc Software , the provider of technology for advanced trading, market making and brokerage, today announced that it now provides direct trading access to FXall and Hotspot FXi, two of the leading alternative trading systems for foreign exchange .

http://biz.yahoo.com/bw/060614/20060614005550.html?.v=1



Banks' commodities business could grow 20 percent

NEW YORK (Reuters) - Commodities have become big business for Wall Street banks, and revenues from the area could grow 15 percent to 20 percent a year for the next several years, even with recent pullbacks in the oil and metals markets, analysts and business heads said.

http://today.reuters.com/business/newsArticle.aspx?type=ousiv&storyID=2006-06-13T175125Z_01_N13422570_RTRIDST_0_BUSINESSPRO-FINANCIAL-INVESTMENTBANKS-COMMODITIES-DC.XML



THEATER REVIEW - Greed may be good, but it's so 20 years ago

Speaking of selling short, "Burleigh Grime$," which opened last night at New World Stages, works way too hard to say almost nothing about Wall Street high rollers and the financial media.

Even if Roger Kirby's greed-is-good satire did not feel 20 years late, his material would be as labored as that dollar sign in the title. Despite the ambitions of David Warren's zippy production and a heavy-lifting cast led by Wendie Malick ("Just Shoot Me"), things manage to be both slick and dull, obvious and incoherent, exhausted and exhausting.

http://www.newsday.com/entertainment/ny-secsing4779331jun14,0,5607443.story?coll=ny-entertainment-headlines



Austrian bank BAWAG won't be sold in pieces -CEO

VIENNA, June 14 (Reuters) - The owner of troubled Austrian bank BAWAG P.S.K. plans to sell it whole, even though a buyer might want to break it up, the bank's chief executive said.

http://asia.news.yahoo.com/060614/3/2lvt8.html



Austrian finmin: don't sell BAWAG to "speculators"

VIENNA, June 13 (Reuters) - Austrian Finance Minister Karl-Heinz Grasser said on Tuesday the country's trade union federation OeGB should not sell its troubled bank BAWAG P.S.K. to "speculators" such as certain buyout or hedge funds.

http://asia.news.yahoo.com/060613/3/2lun6.html



Schwab cuts prices as equity slide hits trading

Discount stockbroker Charles Schwab Corp. said on Wednesday that customer stock trading rose in May but customers pulled back in the first half of June following the recent equity market tumble.

http://news.yahoo.com/s/nm/20060614/bs_nm/financial_schwab_volume_dc_3



U.S. securities industry sees profitable start for 2006

The U.S. Securities Industry Association released industry profit reports for 2005 and data for the first quarter of 2006, which suggested the new year started strongly.

http://www.investmentexecutive.com/client/en/News/DetailNews.asp?id=34352&IdSection=147&cat=147&BImageCI=1



U.S. Oil and Gas Companies Use Commodity Derivatives Extensively to Manage Risk, Report Says

Based on an analysis of numerous financial reports of U.S. oil and gas companies filed with the SEC and discussions with selected issuers, Standard & Poor's Ratings Services found that just about all U.S. oil and gas producers and refiners use derivatives to manage risks related to oil and gas commodity prices, albeit at varying degrees, using a variety of financial instruments and hedging

http://biz.yahoo.com/prnews/060614/nyw111.html?.v=60



HedgeStreet® Derivatives Model Continues to Receive Validation from Industry Giants

HedgeStreet’s exchange-traded derivatives model received further validation from the derivatives industry this week as the Chicago Mercantile Exchange (CME) announced that it will hold derivatives auctions for the core consumer price index (CPI), a U.S. inflation statistic.

www.hedgestreet.com



Observations – Statistics - Commentary



Back in the Saddle



I am back in Chicago after my quick trip to San Diego for the National Investor Relations Institute annual conference. The panel I participated on about multi-asset class trading was a big success with the room filled and little if any yawning. Booklets on Equity Options trading and Single Stock Futures were snapped up quite quickly by the audience. There were no major disagreements among the panelists and I learned some things from listening to the other panelists and from the questions from the audience.



Thank you to Jim Kharouf for pinch-editing for me while I was away.



+++++



Note: I have not figured out what I am going to do with the new offerings from Nymex on Globex, so I am keeping the Scorecard the way it was except for adding NYMEX WTI Financial volume.



NYMEX-ICE Energy Futures Scorecard





ICE WTI Crude
144,612

NYMEX WTI Crude (physical)
338,169

Percent ICE of total
29.95%




NYMEX WTI Financial
13,017

NYMEX Mini Gasoline
54

NYMEX Mini Heating Oil
2,214

NYMEX Mini Light Crude Oil
52,102

NYMEX Mini Natural Gas
11,048

NYMEX Mini Complex
65,418




ICE Brent Volume
210,360




****





Chicago Electronic Trading Scorecard for Previous Trading Day




Percent Electronic





CBOT:
67.93%

CME (excluding TRAKRS):
78.57%

CME Eurodollar Futures:
83.75%

CME Eurodollar Options
7.52%

CME Live Cattle Futures:
0.29%

CME Currency Products:
75.52%

CBOT Soybeans Futures:
3.46%




CBOT Options:
15.63%

CME Options:
16.64%




Volume





OneChicago Volume:
7,203

Eurex US Volume:
2

CBOE Futures Exchange Volume:
2,542




Market Share





CBOT 100 oz. Gold Futures Volume:
60,520

NYMEX 100 oz. Gold Futures Volume:
103,735

CBOT Share:
36.85%




CBOT 5000 oz. Silver Futures Volume:
9,341

NYMEX Silver Futures Volume:
44,744

CBOT Share:
17.27%




CBOT Mini Gold Volume:
22,133

CBOT Mini Silver Volume:
8,117

CBOT 100 oz. Gold Options:
2,116

CBOT Metals Complex:
102,227

CBOT 100 Oz. Gold Open Interest:
8.22%

CBOT 100 Oz. Gold Give Up %:
15.20%






Notes: The E-mini S&P at the CME traded 2,741,652 contracts, beating June 8 record volume of 2,722,320 contracts and the E-mini S&P open interest passed the 2-million mark for the first time ever with 2,042,655 contracts. Other open interest records of note include E-mini Russell 2000 futures at 633,577 contracts, E-mini Nasdaq futures at 598,465 contracts and options on E-mini S&P 500 futures at 1,603,748.



The CBOT had its third highest day volume for the 100 oz. gold futures yesterday and the second highest day for overall metals complex volume.



Regards,



John J. Lothian

Publisher

John Lothian Newsletter

www.johnlothiannewsletter.com




Futures Brokerage - Business Intelligence




John J. Lothian
President- Electronic Trading Division
The Price Futures Group, Inc.
141 West Jackson Blvd., Suite 1340A
Chicago, IL 60604

jlothian@pricegroup.com
johnlothian@johnlothian.com
IM: LothianJohnJ
http://www.pricegroupetd.com
tel:
tel2:
fax:
mobile:
+1 312-264-4350
+1 800-713-0215
+1 312-264-4399
+1 312-203-5515










Add me to your address book...
Want a signature like this?








Disclaimer: The John Lothian Newsletter and Environmental Markets newsletter are products of John J. Lothian & Company, Inc. The opinions expressed in the John Lothian Newsletter and Environmental Markets are strictly the opinions of John J. Lothian & Company, Inc., and not necessarily those of Mr. Lothian’s employer, The Price Group and its management, and is intended solely for informative purposes and is not to be construed, under any circumstances, by implication or otherwise, as an offer to sell or a solicitation to buy or trade in any commodities or securities herein named. Information is obtained from sources believed to be reliable, but is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. Security futures are not suitable for all customers.



Futures and options trading involve risk. Past results are no indication of future performance.



This is an opt-in newsletter. If you wish to unsubscribe, please check the address of list you are receiving the newsletter from and then click on the appropriate link below.



mailto:johnlothiannewsletter-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter1-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter2-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter3-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter4-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter5-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:jimkharouf-request@johnlothiannewsletter.com?subject=unsubscribe



If the unsubscribe links above do not work for you, please send an email to johnlothian@johnlothian.com with unsubscribe in the subject line.



The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.

June 13, 2006



Edited by Jim Kharouf (jkharouf@sbcglobal.net)



Lead Story



Ontario to Build Nuclear Reactors, Delay Coal Plant Closures

Bloomberg

Ontario's government plans to build new nuclear reactors and delay the closure of its coal plants to avert possible energy shortages in the province.

http://www.bloomberg.com/apps/news?pid=10000082&sid=aIatfoaWiFAs



US/Canada News



ADM and Millennium Ethanol Announce Marketing Agreement

Decatur, IL (June 12)--Archer Daniels Midland Company (ADM) and Millennium Ethanol LLC are pleased to announce the formation of an ethanol marketing agreement.

As part of this marketing agreement, ADM will market all ethanol produced by Millennium Ethanol at its forthcoming 100 million gallon Marion, South Dakota facility.

http://www.grainnet.com/articles/ADM_and_Millennium_Ethanol_Announce_Marketing_Agreement_-34702.html



Cargill becomes majority stakeholder of Brazilian sugar, ethanol mill

Lauren Wilbert - Minneapolis/St. Paul Business Journal

Cargill Inc. said Friday it has completed negotiations to own 63 percent of Cevasa, a sugar and ethanol mill in Sao Paulo, Brazil.

The deal makes Minneapolis-based Cargill the majority owner of the mill, which Cargill's Brazil-based plant Agricola will oversee. Canagril, the mill's associated growers, owns the remaining 37 percent of the mill.

http://www.bizjournals.com/twincities/stories/2006/06/12/daily10.html?from_rss=1



Cargill Invests in Sugar & Ethanol Mill in Brazil

Maubisa and Cargill Agricola S.A. announced June 12 the conclusion of negotiations for Cargill to take a 63% stake in Cevasa - Central Energetica Vale do Sapucai Ltda, making it effectively a joint venture between Canagril - the associated growers - and Cargill.

http://www.grainnet.com/articles/Cargill_Invests_in_Sugar___Ethanol_Mill_in_Brazil-34722.html



Ethanol maker to test IPO market this week

By Michael Kanellos - CNET News.com

Another test of Wall Street's taste for alternative energy will take place this week when VeraSun Energy holds its initial public offering.

http://news.com.com/2100-11746_3-6083026.html?part=rss&tag=6083026&subj=news



Sorting through the ethanol hype

Grace Wong, CNNMoney.com

The buzz surrounding ethanol producers is growing as the first of three companies gets set to go public, but analysts say retail investors should beware of the risks associated with getting in on the ethanol game.

http://money.cnn.com/2006/06/12/markets/ipo/ethanol/index.htm?section=money_latest



American Stock Exchange Approves Listing of Xethanol

BUSINESS WIRE

Xethanol Corporation (OTCBB:XTHN - News), a biotechnology driven ethanol company, announced today that it has been notified by the American Stock Exchange (AMEX) that its common shares have been approved for listing on the Exchange.

http://biz.yahoo.com/bw/060613/20060613005218.html?.v=1



Grain markets shifting gears

Ethanol production to create explosive demand for corn.

BY TOM WEBB - Pioneer Press

Six months ago, the grain markets seemed to be staggered by overproduction, marked by colossal harvests, rock-bottom prices and mountains of corn dumped on the ground.

http://www.twincities.com/mld/twincities/business/14803429.htm?source=rss&channel=twincities_business



RNK Capital and Swiss Re Structure First Insurance Product for CDM Carbon Credit Transactions

PRNewswire

RNK Capital LLC (RNK), a New York-based private investment firm specializing in the U.S. and

international environmental markets, and Swiss Re, the world's leading and

most diversified global reinsurer, today announce they have jointly

implemented the carbon markets' first insurance product for managing Kyoto

Protocol-related risk in carbon credit transactions.

http://www.syracuse.com/business/prnewswire/index.ssf?/cgi-bin/stories.pl?ACCT=NY1&%3bSTORY=/www/story/06-13-2006/0004379387&%3bEDATE=Jun%252013,%25202006



Gore to Train 1,000 to Spread Word about Climate

Timothy Gardner - Reuters

NEW YORK — Al Gore hopes to train 1,000 messengers he hopes will spread out across the country and present a slide show about global warming that captures the essence of his Hollywood documentary and book.

http://www.enn.com/today.html?id=10661



First Nations – Partnering for Sustainability

Globe Foundation of Canada

VANCOUVER, B.C. — First Nations groups in Canada are increasingly demonstrating the desire and the ability to forge partnerships that result in economic and environmental benefits. Not only are they ready to deal with industry giants to co-manage natural resources, they are demanding and winning the right to ensure that their environmental, social and cultural concerns be addressed.

http://www.enn.com/net.html?id=1527



Washington Commissioner Hosts Summit on Climate Change

Insurance Journal

Washington Insurance Commissioner Mike Kreidler will convene a summit on the impacts of climate change on the insurance industry and insurance consumers on Thursday, June 15 in Seattle.

http://www.insurancejournal.com/news/west/2006/06/12/69394.htm



NASA Admits Wrongdoing In Not Allowing Top Scientist To Discuss Climate Change Research

PRESS RELEASE

Washington, D.C. – Senators Susan Collins (R-ME) and Joe Lieberman (D-CT) have received written confirmation from the National Aeronautics and Space Administration (NASA) that a media request to interview a top official on his climate change views was wrongly denied. Collins and Lieberman raised concerns with NASA's alleged censorship of scientific views in a letter dated February 15, 2006, following media reports that Goddard Space Flight Center Chief Dr. James Hansen was prevented from fully conveying his findings.

http://www.spaceref.com/news/viewpr.rss.html?pid=20062



Tory Kyoto policy spooks federal scientists

CBC News

Some federal government scientists are reconsidering their career options now that the Conservative government is backing away from the Kyoto Protocol on climate change, according to their union leader.

http://www.cbc.ca/ottawa/story/ot-scientists20060612.html



Our View: Governors sound global warming alarm

Idaho Statesman

A bipartisan group of Western governors doesn't offer global-warming solutions.

But the governors sound a critical alarm and send an important message to the region. All Westerners, and their local and state governments, have a role — and a stake — in global-warming decisions.

http://www.idahostatesman.com/apps/pbcs.dll/article?AID=/20060613/NEWS0501/606130342/1001/NEWS



ShoreBank grows by 'greening'

MARY WISNIEWSKI - Chicago Sun-Times

Loans for green roofs and energy-efficient heating helped boost ShoreBank Corp.'s conservation loan portfolio by 16 percent from a year earlier.

http://www.suntimes.com/output/business/cst-fin-shore13.html



Cutting Emissions, Fueling Growth

SCOTT KRADY, Special to The Courant

A company driven by software technology isn't the first thing that comes to mind with the image of coal production and combustion at utility plants.

http://www.courant.com/business/hc-top25fueltech.artjun13,0,622292.story?coll=hc-headlines-business



Green skies

Aircraft emissions are the next environmental battlefield

The Economist

ALL big ideas start life on the fringes of debate. Very often it takes a shocking event to move them into the mainstream. Until last year, interest in climate change was espoused mainly by scientists and green lobbyists -- and the few politicians they had badgered into paying attention. But since hurricane Katrina, something seems to have changed, particularly in America.

http://www.winnipegfreepress.com/westview/story/3543764p-4094338c.html



Details Emerge On Fusaro FoF Strategy

Power Finance & Risk

Energy and Environment Capital Management's Energy & Environment Fund, managed by Peter Fusaro, will initially make investments in 12-15 underlying funds, according to an investor presentation. The $500 million fund was due to launch last month (PFR, 5/18). Fusaro declined to comment.

http://www.dailyii.com/article.asp?PositionID=2598&ArticleID=1041333

JK**** In the interest of disclosure, Peter Fusaro is a regular contributor to this publication.



Green Investment Pioneer, Winslow Management, LLC, Selected as Subadvisor of Jupiter Green Investment Trust

CSRwire

Winslow Management Company, LLC, an investment adviosry firm and a leader in environmentally responsible, small-cap growth investing, today announced it has been named subadviosr for the Jupiter Green Investment Trust

http://www.socialfunds.com/news/release.cgi/5749.html



European News



Blair unveils Whitehall emissions plan

Ben Hall - FT

Carbon emissions from all government buildings will be "offset" by environmentally friendly measures by 2012, Tony Blair pledged yesterday as he set out to regain the political initiative on green issues.

The prime minister said the public sector would lead by example on measures to combat climate change, with all government offices becoming "carbon neutral" in six years.

http://news.ft.com/cms/s/0919acf4-fa79-11da-b7ff-0000779e2340.html



Israel and Germany to Sign Climate Change Agreement

Environment News Service

In a meeting that would have been unthinkable just a few decades ago, Israeli Environment Minister Gideon Ezra met with the German Environment Minister Sigmar Gabriel in Jerusalem last week.

http://www.ens-newswire.com/ens/jun2006/2006-06-12-05.asp



Carbon Costs Menace Investment in Europe - Analysts

Reuters

The rising costs of reducing carbon dioxide emissions by smokestack industries may trigger a shift in major investments in such sectors from Europe to countries where carbon controls are less strict, analysts said.

http://www.planetark.org/dailynewsstory.cfm/newsid/36760/story.htm



Paper pulp professor dismisses greenhouse gas emissions trade as unnecessary madness

Jyrki Iivonen - Helsinki Times

Johan Gullichsen says people do not cause climate change

http://www.hs.fi/english/article/Paper%20pulp%20professor%20dismisses%20greenhouse%20gas%20emissions%20trade%20as%20unnecessary%20madness/1135220275276



Volvo Takes 16 Gold Medals At The Michelin Challenge Bibendum

PARIS

With the flagships from its environmental car program, Volvo Car Corporation placed at the top during the Michelin Challenge Bibendum 2006 in Paris this weekend.

http://www.theautochannel.com/news/2006/06/13/011068.html





Asia news



Special fund set up for renewable energy

Chinaview

China's Ministry of Finance (MOF) and State Development and Reform Commission (SDRC) are in talks to establish a special fund for the development of renewable energy, the China Securities Journal reported on Tuesday.

http://news.xinhuanet.com/english/2006-06/13/content_4688806_4.htm



Taiwan's Chen Calls For Closer Environmental Co-Op With Japan

Asia Pulse

President Chen Shui-bian said Monday Taiwan and Japan should strengthen cooperation to develop technologies for energy conservation and environmental protection, since both are island countries with limited natural resources.

http://au.biz.yahoo.com/060613/17/r5xz.html



Beijing Orders a Day without Cars, Elevators, Air Conditioning for Civil Servants

Associated Press

BEIJING — The Chinese government has ordered civil servants to do without cars, elevators and air conditioning on Tuesday as part of an energy-saving awareness campaign, state media said.

http://www.enn.com/today.html?id=10659



China's assault on emissions creates opportunities

Chinese authorities are experimenting with a number of measures that could boost fuel efficiency and tighten emissions levels in the country.

They are encouraging firms to manufacture small cars, have imposed taxes on inefficient models and are experimenting with hydrogen-powered and hybrid cars, according to Reuters.

http://www.platinum.matthey.com/media_room/1150128018.html



N-power twice cost of electricity from coal

Rick Wallace - The Australian

NUCLEAR-POWERED electricity would cost twice as much as that produced from coal, and the world's viable uranium supplies could be depleted within 24 years, a Victorian government report has found.

http://www.theaustralian.news.com.au/story/0,20867,19412598-2702,00.html





Other Events/Reports



Reef at forefront of CO2 battle

By Roger Harrabin - BBC News

Five metres (15ft) below the clear green water of the western Caribbean lie the fractured remains of a coral dome hundreds of years old.

Local scientists say it's now so badly damaged that another hurricane would simply sweep it away.

http://news.bbc.co.uk/1/hi/sci/tech/5064870.stm



Human race must find new home in space: Hawking

Associated Press

HONG KONG -- The survival of the human race depends on its ability to find new homes elsewhere in the universe because there's an increasing risk that a disaster will destroy the Earth, world-renowned scientist Stephen Hawking said Tuesday.

http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20060613/humans_space_hawking_060613/20060613



Study: Warming turns bears into cannibals

AP

Polar bears in the southern Beaufort Sea may be turning to cannibalism because longer seasons without ice keep them from getting to their natural food, a new study by American and Canadian scientists has found.

http://www.cnn.com/2006/TECH/science/06/12/polar.bears.ap/index.html?section=cnn_topstories



Events/Reports



Chicago Climate Exchange

May Trading Summary

http://www.chicagoclimateexchange.com/news/newsletters/CCX_carbonmkt_v03_i05.pdf



Chicago Climate Futures Exchange

Report on So2 futures

http://www.chicagoclimateexchange.com/news/newsletters/CCFE_sulfurmkt_v03_i05.pdf



Environmental Trading Congress

Strategies for Succeeding in the Environmental Financial Markets

July 24th - 25th, 2006, New York Helmsley, NYC

http://www.frallc.com/conference.aspx?ccode=b371



How Changes in the Arctic are Affecting the Rest of the World

Thursday, June 15, 2006

8:00 a.m. - 1:00 p.m.

Venue: United States Senate

http://www.eesi.org/briefings/2006/Energy&Climate/6.15.06_ClimateSymposium/6.15.06ClimateSymposium.htm



9th Annual Renewable Energy and Energy Efficiency Expo and Forum

Tuesday, June 20, 2006

9:00 am – 5:00 pm , 345 Cannon House Office Building (Caucus Room)

http://www.eesi.org/briefings/2006/NonEESIEvents/5.20.06SECExpo.htm



General Electric

www.ge.com/ecoreport



Chicago Climate Exchange



Chicago Climate Futures Exchange SO2 Allowance

Cash and Futures Market Prices Survey Report

Tuesday, June 13, 2006-11:45 a.m. Central Time Report



SO2 Allowance Cash Market Survey

Vintage Bid Offer Last

2006 (or earlier) $590 $600 $592.50 (June 13)

2007 $585 $595



Cash Market Price Survey Overview

The SO2 cash market price information provided above reflects central values
of price ranges gathered from randomly selected market participants from energy,
brokerage and financial firms. The 9:30 a.m. Central Time report is based on information
gathered between 9:10 and 9:25 a.m. Central Time. The 11:45 a.m. Central Time report is based
on information gathered between 11:25 and 11:40 a.m. Central Time.



CCFE SO2 Futures Market Prices

June 13, 2006 Mid-Day Price

Contract Price

June 2006 $600

July 2006 $602

Aug 2006 $605



CCFE SO2 futures contracts require sellers to deliver current or earlier vintage (see CCFE Member Advisory 2005-11 for details).



Disclaimer

Cash market information provided herein is a summary of quotes provided to CCFE
by market participants. The information does not represent a recommendation, trading
advice or prediction of market conditions CCFE takes no responsibility for any decisions

made on the basis of this information




The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.







Lead Stories



Nyse Slide May Spook Euronext Bid

ZACHERY KOUWE - NY Post

A dramatic fall in New York Stock Exchange shares over the past two weeks may undermine its plans to merge with Euronext, a deal that has been hammered by a host of politicians across the Atlantic.

http://www.nypost.com/business/nyse_slide_may_spook_euronext_bid_business_zachery_kouwe.htm



Euronext shares slump as NYSE deal value falls

Deutsche Boerse reportedly considers raising Euronext offer

Simon Kennedy, MarketWatch

LONDON - Shares in Euronext slumped Tuesday as the value of its agreed takeover offer from NYSE Group fell, even as Deutsche Boerse was reportedly considering raising its bid for the pan-European exchange.

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7BA64CFBA3%2D033C%2D4AEE%2D9A1E%2D7957CBF561BD%7D&dist=rss&siteid=mktw&rss=1



Shares in German stock market operator Deutsche Boerse slumped as a result of an unconfirmed newspaper report which said the group could raise its offer for pan-European rival Euronext, which wants to merge with the

New York Stock Exchange.

Deutsche Boerse shares were late morning showing a loss of 6.18 euros or 6.2 percent at 93.09 euros.

http://news.yahoo.com/s/afp/20060613/bs_afp/germanyeuropeusstockscompanyboerseeuronext_060613101421



D.Boerse considers sweetening Euronext offer

Reuters

Deutsche Boerse is considering sweetening its merger offer for multinational European markets operator Euronext , the Financial Times Deutschland said on Tuesday.

Quoting sources close to Deutsche Boerse, the newspaper said the Frankfurt firm was in talks with German financial watchdog Bafin to sound it out on the possibility of amending the offer.

http://www.iii.co.uk/news/?type=reutersnews&articleid=MTFH85721_2006-06-13_06-42-00_L13284748&feed=Bus&action=article



OTC boost for Euronext.Liffe

Gillian Tett - FT

Euronext.Liffe, the pan-European exchange group, has succeeded in capturing a slice of the region’s over-the-counter equity derivatives market in recent months with the launch of a service that clears and settles equity derivatives trades.

http://news.ft.com/cms/s/085de26c-fa38-11da-b7ff-0000779e2340.html



NYMEX Energy Futures Successfully Launch on CME Globex(R) Platform

NEW YORK and CHICAGO, June 12 /PRNewswire-FirstCall/ -- NYMEX Holdings, Inc., the parent company of the preeminent physical futures exchange, and CME, the world's largest and most diverse financial exchange, today reported solid volume on the first day that NYMEX energy products traded on the CME Globex(R) electronic trading platform.

NYMEX energy futures reached an estimated 62,695 contracts traded today on CME Globex, (Nachrichten) with full-sized crude oil futures trading an estimated 11,000 contracts.

http://www.finanznachrichten.de/nachrichten-2006-06/artikel-6557781.asp



NYMEX in talks with Comex over electronic metals trading

Reuters

The New York Mercantile Exchange said on Monday that negotiations were continuing with its COMEX metals division regarding electronic trading of COMEX's metals contracts.

http://today.reuters.com/investing/financeArticle.aspx?type=fundsNews2&storyID=2006-06-12T210000Z_01_N12306818_RTRIDST_0_FINANCIAL-NYMEX-COMEX.XML



Mega merger sparks IT integration race

Christian Annesley

Dramatic cost savings through IT consolidation are at the heart of the planned merger of two of the world’s largest stock exchanges, but IT experts have raised doubts about the ambitious integration timescales.

http://www.computerweekly.com/Feeds/RS/Articles/2006/06/13/216376/Mega+merger+sparks+IT+integration+race.htm

JK**** Here's the crux of the deal. Can they make it easier/better for customers?



Austrian unions face debt crisis after BAWAG sale

Reuters

Vienna - Austrian trade union federation OeGB could raise less by selling BAWAG P.S.K. than it needs to repay 2.1 billion euros ($2.7 billion) of debt it has taken on to cover the bank's losses, analysts and union officials say.

http://asia.news.yahoo.com/060612/3/2lssx.html



Man Group's bonus bonanza

Philip Robinson

Stanley Fink, chief executive of Man Group, was one of the highest paid executives in the hedge fund industry last year as a £5.5 million bonus took his total pay up 57 per cent to almost £6 million.

http://business.timesonline.co.uk/article/0,,9063-2223124,00.html

JK**** Poor Clara Furse, she made less than half that. (See below).



Man Group's Fink pockets £5.5m bonus

Stephen Seawright

Man Group chief executive Stanley Fink's pay package jumped more than 50pc in the last financial year on the back of a £5.5m bonus as the earnings of one of the world's largest hedge fund soared.

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2006/06/13/umang13.xml



Commodities is the next best thing in Japan

David Turner - FT

AS commodity prices have surged in recent months, the legions of commodity trading advisers who dot the investment landscape in the US have been fiendishly busy.

http://news.yahoo.com/s/ft/20060612/bs_ft/fto061220061557162626



Jet fuel next commodity for DME

AP

The Dubai Mercantile Exchange Ltd (DME), to be launched in the fourth quarter this year, has targeted jet fuel as its next commodity after the Middle-East sour crude oil.

Chief executive Gary King said DME would not be a “one contract exchange” although its main priority at the moment was crude oil.

http://biz.thestar.com.my/news/story.asp?file=/2006/6/13/business/14520817&sec=business



Oman oil futures contract gets closer

Kevin Morrison - FT

The first oil futures contract to be launched in the Middle East took a step closer yesterday when the Dubai Mercantile Exchange said the contract would be physically settled using oil storage and loading facilities in Oman.

http://news.ft.com/cms/s/e1ce98c0-fa79-11da-b7ff-0000779e2340.html



Exchange & ECN News



Dubai opens ME’s 1st futures exchange; UAE city aims to be currency trading hub

Arab Times

Dubai opened the Middle East’s first currency futures exchange on Monday in a bid to establish the wealthy Gulf emirate as a currency trading hub between London and the Far East.

http://www.arabtimesonline.com/arabtimes/business/Viewdet.asp?ID=6480&cat=a



Singapore Exchange Enhances Governance

Mary Swire, for LawAndTax-News.com

The Singapore Stock Exchange (SGX) last week announced changes to its listing rules, which will take effect from 1 September 2006.

http://www.investorsoffshore.com/asp/story/storyinv.asp?storyname=23897



CME, Goldman to Launch Derivatives Auction

Chicago Merc, Goldman to Launch Derivatives Auction on Inflation

AP- Traders will be able to place bets on a key inflation gauge Wednesday, when Goldman Sachs and the Chicago Mercantile Exchange offer the first derivatives auction tied to the core consumer price index.

http://biz.yahoo.com/ap/060612/inflation_derivative.html?.v=1

**** JK - This is run on technology from Longitude, which was recently purchased by International Securities Exchange. Goldman Sachs is also a minority owner.



CME to hold derivatives auction on core CPI report Wed.

Reuters — Traders will be able to bet on the level of U.S. core inflation on Wednesday for the first time in a derivatives auction, Goldman Sachs Group Inc. said on Monday.

http://chicagobusiness.com/cgi-bin/news.pl?id=20952



LSE chief executive gets 44 percent raise

Nandini Sukumar - Bloomberg

LONDON: The London Stock Exchange gave its chief executive, Clara Furse, a 44 percent pay increase last year as the company spurned takeover offers and its share price surged.

Furse earned a total of £1.2 million, or $2.21 million, for the year ended March 31, compared with £836,000 the previous financial year, according to the exchange's annual report. Her compensation consisted of £402,000 in salary and a £763,000 bonus. In the previous year, she earned a base salary of £374,000 and a £460,000 bonus.

http://www.iht.com/articles/2006/06/12/bloomberg/bxshake.php



Strong Growth at Clearstream for May 2006

Clearstream: In May the number of monthly international transactions processed rose 57 percent to 2.38 million (May 2005: 1.52 million). Of these transactions, 71 percent were Over the Counter (OTC) transactions and 29 percent were registered as stock exchange transactions. Domestic settlement transactions in Germany increased 68 percent reaching 4.00 million compared to 2.38 million for the same period last year. Of these transaction 70 percent were stock exchange transactions and 30 percent OTC transactions.

http://deutsche-boerse.com/dbag/dispatch/en/listcontent/gdb_navigation/press/10_Latest_Press_Releases/Content_Files/13_press/June_2006/pm_news_clearstream_130606.htm



Independent Research Network Helping Companies Obtain Objective, Continuous And High-Quality Research Coverage

The Independent Research NetworkSM(IRN) today announced several milestones in the growth and development of its business, including signing contracts with 30 research providers and the signing of IRN's first client contract. The IRN connects under-covered companies with multiple independent and sell-side research providers to ensure that companies have broader market awareness and that investors have access to high-quality, current research.

http://www.nasdaq.com/newsroom/news/pr2006/ne_section06_079.stm



NASDAQ Stock Market Hires New Head of Asia Pacific

The Nasdaq Stock Market, Inc. (NASDAQ®; NDAQ) today announced that it has hired James Ogilvy-Stuart as its Head of Asia Pacific. Based in Hong Kong, Ogilvy-Stuart will be responsible for NASDAQ's new listings business throughout the Asia Pacific region. He will report to Charlotte Crosswell, Head of NASDAQ International. Ogilvy-Stuart takes up his position on July 3rd, 2006.

http://www.nasdaq.com/newsroom/news/pr2006/ne_section06_078.stm



New Management Board Member Of Wiener Börse Wants To Establish Investment Culture In Austria

Exchange Handbook

http://www.exchange-handbook.co.uk/news_story.cfm?id=59893



Environmental Trading News



Controlling climate change

What an attractive and meaningful full page advertisement You Control Climate Change was! The message was simple and to the point. It was part of a campaign the European Union is spearheading to fight climate change, which it sees as one of the greatest environmental threats of our time.

http://www.timesofmalta.com/core/article.php?id=227218



For more environmental trading news, subscribe to the Environmental Markets version of the John Lothian Newsletter edited by Jim Kharouf.



Click here to subscribe: jimkharouf-request@johnlothiannewsletter.com?subject=subscribe



Regulatory News



The SEC News Digest

The SEC News Digest provides daily information on recent Commission actions, including enforcement proceedings, rule filings, policy statements, and upcoming Commission meetings.

http://www.sec.gov/news/digest/2006/dig060806.txt





Investments - Indexes - Managed Futures - Managed Funds



Barclays Capital confirms McCarthy & Stone interest

Jane Merriman and Mathieu Robbins - Reuters

LONDON - Barclays Capital, the investment banking arm of Barclays Group , said on Monday it is considering making a bid with buyout firm Permira for housebuilder McCarthy & Stone .

http://www.tiscali.co.uk/news/newswire.php/news/reuters/2006/06/13/business/barclays-capital-confirms-mccarthy-amp-stone-interest.html&template=/business/feeds/story_template.html



Reports



Bond Talk Today's Events

http://www.bondtalk.com/global.cfm?S=todaysevents



USDA Today

http://www.usda.gov/nass/PUBS/TODAYRPT/TODAY.HTM



Miscellaneous News



DTCC signs 500th customer to Deriv/Serv matching and confirmation service

The Depository Trust & Clearing Corporation (DTCC) signed the 500th customer on to its Deriv/SERV matching and confirmation service, reaching another milestone in its goal to automate processing in the global over-the-counter (OTC) derivatives market.

http://www.finextra.com/fullpr.asp?id=9852



SunGard launches of Adaptiv Analytics; upgrades Front Arena

SunGard today announced the launch of Adaptiv Analytics, a solution for rapid computation of complex risk calculations.

Adaptiv Analytics provides an extensible framework for distributing complex portfolio-level risk calculations across a grid of servers. The solution can be tailored to help financial services institutions meet requirements for market and credit risk management.

http://www.finextra.com/fullpr.asp?id=9853



SunGard launches real-time cash manager; MiFID workshops across Europe

SunGard today announced the launch of a new liquidity management solution to help corporations and banks make better funding decisions based on validated, real-time visibility into their cash positions.

http://www.finextra.com/fullpr.asp?id=9846



Observations – Statistics - Commentary



John will be returning to his post Wednesday. Have a great day.



Jim Kharouf





John J. Lothian

Publisher

John Lothian Newsletter

www.johnlothiannewsletter.com




Futures Brokerage - Business Intelligence




John J. Lothian
President- Electronic Trading Division
The Price Futures Group, Inc.
141 West Jackson Blvd., Suite 1340A
Chicago, IL 60604

jlothian@pricegroup.com
johnlothian@johnlothian.com
IM: LothianJohnJ
http://www.pricegroupetd.com
tel:
tel2:
fax:
mobile:
+1 312-264-4350
+1 800-713-0215
+1 312-264-4399
+1 312-203-5515










Add me to your address book...
Want a signature like this?








Disclaimer: The John Lothian Newsletter and Environmental Markets newsletter are products of John J. Lothian & Company, Inc. The opinions expressed in the John Lothian Newsletter and Environmental Markets are strictly the opinions of John J. Lothian & Company, Inc., and not necessarily those of Mr. Lothian’s employer, The Price Group and its management, and is intended solely for informative purposes and is not to be construed, under any circumstances, by implication or otherwise, as an offer to sell or a solicitation to buy or trade in any commodities or securities herein named. Information is obtained from sources believed to be reliable, but is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. Security futures are not suitable for all customers.



Futures and options trading involve risk. Past results are no indication of future performance.



This is an opt-in newsletter. If you wish to unsubscribe, please check the address of list you are receiving the newsletter from and then click on the appropriate link below.



mailto:johnlothiannewsletter-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter1-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter2-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter3-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter4-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter5-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:jimkharouf-request@johnlothiannewsletter.com?subject=unsubscribe



If the unsubscribe links above do not work for you, please send an email to johnlothian@johnlothian.com with unsubscribe in the subject line.



The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.

June 12, 2006



Edited by Jim Kharouf (jkharouf@sbcglobal.net)



Lead Stories



Lenders see profit in responsibility

Fiona Harvey - FT.com

In Romania, people seeking business loans from the Banca Comerciala Romana, the country's biggest commercial bank, are likely to face close questioning on the environmental impact of any project for which they need finance. The bank has 600 credit officers specially trained in environmental issues, thanks to a partnership with the International Finance Corporation.

http://www6.lexisnexis.com/publisher/EndUser?Action=UserDisplayFullDocument&orgId=1925&topicId=100002042&docId=l:394996602&start=6



Profiting from the Rise of Environmental Markets

David Brand - Ecosystem Marketplace

David Brand, managing director of New Forest Pty Ltd, tells the Ecosystem Marketplace why he thinks it is important to tell the world there is big money to be made in emerging environmental markets.

For those of us who think that evolving to a sustainable global economy will involve pricing of ecosystem services, it is often frustrating to see the lack of understanding and interest in this area by the mainstream business and investment community. It seems, then, that we need to demonstrate that investment in ecosystems and environmental markets is a compelling story, especially for those with a medium to long-term investment horizon.

http://ecosystemmarketplace.com/pages/article.opinion.php?component_id=4390&component_version_id=6351&language_id=12



US/Canada News



Schwarzenegger calls on governors to fight global warming

Associated Press

SEDONA, Ariz. - Western states must work together to reduce greenhouse gasses in the fight against global warming, California Gov. Arnold Schwarzenegger said Sunday at the annual meeting of the Western Governors’ Association.

http://news.bostonherald.com/national/view.bg?articleid=143273

JK**** No word on whether he arrived in his Hummer.



Colorado mulls pollution controls

JUDITH KOHLER - Associated Press

DENVER - Facing the threat of federal sanctions, Colorado health officials are considering tougher air pollution controls statewide on the expanding oil and gas industry.

http://www.jacksonholestartrib.com/articles/2006/06/12/news/regional/4b224f20043ba7dc8725718a00211e23.txt



Three towns urge drivers to shut down idling engines

Associated Press

NORTHAMPTON - Three western Massachusetts communities are launching a public education campaign to reduce greenhouse gas emissions and cut gasoline consumption caused by idling car engines. Northampton, Easthampton and Amherst are working with the Pioneer Valley Planning Commission and a $10,000 grant from the state Department of Environmental Protection on the campaign.

http://www.metrowestdailynews.com/localRegional/view.bg?articleid=132632



San Francisco Mayor Announces Citywide B20 Plan

RenewableEnergyAccess.com

The San Francisco City Government has long been a leader in its commitment to alternative transportation fuels to promote clean air, encourage renewable energy and reduce greenhouse gas emissions. Mayor Gavin Newsom recently issued an Executive Directive to increase the pace of municipal use of biodiesel.

http://www.renewableenergyaccess.com/rea/news/story;jsessionid=D10411E5C336EE47F42B338B020F2A11?id=45134



Green Markets, Too, Can Crash, Environmentalists Find Tools

TIM FOUGHT - Associated Press

PORTLAND, Ore. - Environmentalists who relish the intricate and wild ways of the natural world, and blanch at the damage done by external forces such as humans, are finding that when markets become a conservation tool, they can be intricate, wild and subject to damage by external forces such as humans.

http://www.katu.com/outdoor/story.asp?ID=86717



Indiana Dairies To Capture More Than

A Million Tons Of Greenhouse Gases

Four Indiana dairies, connected by family history and geography, have jointly signed an historic agreement with Environmental Credit Corp. (ECC) to create more than one million carbon credits from greenhouse gas-reducing projects.

http://www.manufacturing.net/article/CA6342841.html



EPA Proposes Emission Breaks for Ethanol

In a move to promote ethanol production, EPA is proposing to revise the amount of pollutants ethanol manufacturing plants may emit each year before becoming subject to major source regulations and Title V air emissions permitting. The Renewable Fuels Association reports that there are about 100 plants nationwide that make ethanol from the fermentation of sugars derived from materials such as corn, millet, and beverage waste. All five states in EPA Region 6 refine some amount of ethanol, ranging from three facilities in New Mexico to 26 facilities in Texas.

http://enviro.blr.com/display.cfm/id/67783



Green Fuel's Dirty Secret

Sasha Lilley, Special to CorpWatch

The town of Columbus, Nebraska, bills itself as a "City of Power and Progress." If Archer Daniels Midland gets its way, that power will be partially generated by coal, one of the dirtiest forms of energy. When burned, it emits carcinogenic pollutants and high levels of the greenhouse gases linked to global warming.

http://www.corpwatch.org/article.php?id=13646



Catholics, Others Raise Alarm About Toxic Mercury

PRNewswire

HARRISBURG, Pa. Faith-based associations, public health and child-care advocates, labor unions, outdoor enthusiasts and sportsmen, and conservation and environmental organizations are taking strong stands on the critical issue of reducing toxic mercury pollution from coal- fired power plants.

http://biz.yahoo.com/prnews/060612/phm043.html?.v=36



The Need for Mandatory Power Supply Efficiency Standards

Harry Chernoff, Principal, Pathfinder Capital Advisors, LLC

If household electronic devices used high-efficiency power supplies, residential electricity usage would be 47 billion kWh per year less than business-as-usual, saving consumers more than $4 billion per year. The electrical output from the equivalent of 7,000 MW of baseload generating capacity and more than 0.5% of total U.S. CO2 emissions would be eliminated.

http://www.energypulse.net/centers/article/article_display.cfm?a_id=1280



Why a growing number of firms are taking global warming seriously

The Economist

RUPERT MURDOCH is no green activist. But in Pebble Beach later this summer, the annual gathering of executives of Mr Murdoch's News Corporation—which last year led to a dramatic shift in the media conglomerate's attitude to the internet—will be addressed by several leading environmentalists, including a vice-president turned climate-change movie star.

http://www6.lexisnexis.com/publisher/EndUser?Action=UserDisplayFullDocument&orgId=1925&topicId=100002042&docId=l:394266722&start=3

JK**** The Ying



Exxon rejects request to discuss global warming with board members

SPOTLIGHT

Exxon Mobil Corp. yesterday rejected a pension fund trustees' request that it discuss global warming with its independent board members, instead offering to meet with the pension officials this summer.

http://www6.lexisnexis.com/publisher/EndUser?Action=UserDisplayFullDocument&orgId=1925&topicId=100002042&docId=l:394260663&start=10

JK**** And the Yang



Winslow and Jupiter Launch Global Green Fund Using Only Positive Environmental Criteria

Bill Baue - SocialFunds.com

The Jupiter Green Investment Trust pioneers cross-continent collaboration and evolution from negative screening to positive sustainability criteria.

Boston-based Winslow Management Company and the socially responsible investing (SRI) team at London-based Jupiter Investment Management are joining forces to launch the Jupiter Green Investment Trust (ticker: JGC), a global fund that breaks new ground in several ways.

http://www.socialfunds.com/news/article.cgi/2029.html



European News



Government pledges "green" targets

Reuters

LONDON - The government, under fire for missing its own targets on combating global warming, set itself a new goal on Monday, pledging to ensure that within six years its own offices would not add to the climate crisis.

http://home.eircom.net/content/reuters/uNews/8247221?view=Standard



Public bodies tackle CO2 emissions

Both the government and the Greater London Authority have outlined new plans to reduce their carbon emissions.

The prime minister announced on Monday that the entire government office estate would be 'carbon neutral' by 2012.

All emissions are to be offset by compensating measures such as planting trees.

http://www.epolitix.com/EN/News/200606/868c23c0-9008-407d-8ed9-ecfc62fb6312.htm



Ranking Reveals Big Differences in Funds’ Carbon Footprints

Major UK investment funds have vastly divergent carbon footprints, revealed a ranking published today by Trucost.

Trucost, a UK-based environmental research company, ranked the carbon footprints of 44 different UK investment funds worth approximately £45 billion (€65.6 billion), which cumulatively emit some 50 million tonnes of CO2e per year.

http://www.commodities-now.com/content/market-news/market-news-200606124457.php?PHPSESSID=ade10c6b10056380dcddb0faa511ca5c



Trucost Releases Ground Breaking Carbon Footprint Ranking Of Uk Investment Funds

Trucost, the environmental research company which produced the environmental reporting guidelines for business for the UK government, has released the first Trucost Carbon Footprint Ranking of UK Investment Funds. For the first time this enables investors to compare investment funds on an environmental basis.

http://www.websitepreview.co.uk/staging/trucost/carbon_news.html



Save money and protect the planet

Energy: It's now easy to be carbon neutral, writes Miles Brignall

The Guardian

Environmentally conscious consumers are being invited to offset their carbon dioxide "footprint" by a gas and electricity company in a bid to reduce climate change.

EBICo, the low-cost, not-for-profit, energy company, is now offering individuals and companies the chance to become carbon neutral. It effectively calculates how much CO2 is produced by a household's lifestyle/energy consumption, and then buys the equivalent on the European carbon trading market.

http://money.guardian.co.uk/ethicalmoney/story/0,,1794247,00.html



Hot air? I want the cold facts

Anatole Kaletsky explains why he will continue to fly whilst Stelios Haji-Ioannou and Micheal O'Leary give their opinions on a green tax

Plane truth: aircraft pollute, but not as much as commonly thought, and a tax on fuel may not be an effective solution

A TRANSATLANTIC flight creates roughly 1.2 tonnes of carbon dioxide per passenger. Does this mean that you are a carbon criminal if you take a family holiday in the Caribbean? That certainly seems to be the gist of the debate in Britain about the contribution of air travel to climate change.

http://travel.timesonline.co.uk/article/0,,26015-2217389,00.html



Airline plan to pay for emissions is blocked by Germans

Ben Webster - The Times

GERMANY’S biggest airline is blocking a British plan to make passengers pay for the environmental damage caused by their flights.

Lufthansa has rejected proposals put forward by British Airways for an emissions-trading scheme, under which airlines would buy permits to cover their production of carbon dioxide.

http://travel.timesonline.co.uk/article/0,,10295-2221254,00.html



Companies commit to deca-BDE emissions control scheme

David Eldridge - PRW

The voluntary programme aims to help users of brominated flame retardants.

A growing number of plastics companies in the EU are expected to sign up to a voluntary code to control emissions of Deca-BDE, the brominated flame retardant, from their production facilities into the local environment.

The Voluntary Emissions Control Action Programme (VECAP) was launched in 2004. Companies accounting for 48% of Deca-BDE usage in the UK, Belgium, Netherlands, Germany, France and Italy have now signed up to the programme, according to VECAP’s first Annual Progress Report.

http://www.prw.com/main/newsdetails.asp?id=5637



IT outfit neutralises carbon emissions

Lucy Sherriff - Channel Register

Tech consultancy appiChar has gone carbon neutral, and is offering to offset a year's worth of carbon emissions for all computers it sells. The company has signed a deal with co2balance that will see enough trees being planted in reclaimed farmland to absorb the carbon dioxide produced by the company's offices and business travel.

http://www.channelregister.co.uk/2006/06/12/green_pcs/



Roadshow drive to cut emissions from cars

A NEW campaign is urging motorists to switch off their engines while waiting in their vehicles, to curb pollution.

The local authorities in East, West and Midlothian have teamed up to support the new summer campaign that will also include an engine emissions testing roadshow where motorists can get their car examined for free.

http://edinburghnews.scotsman.com/edinburgh.cfm?id=864902006



Eurelectric's Oslo Priorities

Brussels - "Electricity offers a unique solution to drastically reduce oil dependency, cut down on CO2 emissions and boost energy efficiency. However, if electricity is to play its proper role and deliver all its potential benefits to society, then we need a fully coherent EU energy policy based on properly-functioning markets", EURELECTRIC President Rafael Miranda told the press in Oslo on 12 June.

http://www.commodities-now.com/content/market-news/market-news-2006061213186.php?PHPSESSID=47c7df54089029eac8663e912524b7c4





Asia news



Toyota Launches Completely Redesigned Estima Hybrid

Tokyo — TOYOTA MOTOR CORPORATION (TMC) announced today the nationwide sales launch in Japan of the completely redesigned Estima Hybrid minivan through "Toyota" ("Osaka Toyopet" in the Osaka area) and "Toyota Corolla" dealers.

The Estima Hybrid was initially launched in 2001 as the world's first hybrid minivan, demonstrating new potential for hybrid vehicles.

http://www.theautochannel.com/news/2006/06/12/010954.html





Other

U.N. Scheme to Save One Billion Tonnes of Greenhouse Gas

Alister Doyle - Reuters

OSLO — A U.N. scheme to promote renewable energy use in poor nations is growing sharply and will axe emissions of greenhouse gases by more than a billion tonnes by 2012, the U.N. Climate Change Secretariat said on Friday.

http://www.enn.com/today.html?id=10649



Book Review--Managing the Business Case for Sustainability: The Integration of Social, Environmental, and Economic Performance

Bill Baue - Socialfunds.com

The book presents a wide breadth of academic and practitioner perspectives on corporate social and environmental sustainability.

http://www.socialfunds.com/news/article.cgi/2027.html



Bikes: Like Cars Used to Be

Cheap and efficient, a bike can be a reasonable replacement for your car.

Eric Peters

Cars used to reasonably simple, fairly inexpensive things. Remember when a new car -- a nice one, not a bottom feeder with no amenities -- cost less than $5,000? That ended about 20 years ago, as federal emissions and safety equipment requirements transformed automobiles into highly complex systems, and raised their ownership and operating costs commensurately.

http://www.thecarconnection.com/Shoppers/Drivers_News/Bikes_Like_Cars_Used_to_Be.S241.A3662.html





Events/Reports



How Changes in the Arctic are Affecting the Rest of the World

Thursday, June 15, 2006

8:00 a.m. - 1:00 p.m.

Venue: United States Senate

http://www.eesi.org/briefings/2006/Energy&Climate/6.15.06_ClimateSymposium/6.15.06ClimateSymposium.htm



9th Annual Renewable Energy and Energy Efficiency Expo and Forum

Tuesday, June 20, 2006

9:00 am – 5:00 pm , 345 Cannon House Office Building (Caucus Room)

http://www.eesi.org/briefings/2006/NonEESIEvents/5.20.06SECExpo.htm



General Electric

www.ge.com/ecoreport



CCX Market Report for May

http://www.chicagoclimateexchange.com/news/publications/pdf/CM_060509.pdf



Chicago Climate Exchange



Chicago Climate Futures Exchange SO2 Allowance

Cash and Futures Market Prices Survey Report

Monday, June 12, 2006-11:45 a.m. Central Time Report



SO2 Allowance Cash Market Survey

Vintage Bid Offer Last

2006 (or earlier) $585 $600 $587.50 (June 9)

2007 $580 $595



Cash Market Price Survey Overview

The SO2 cash market price information provided above reflects central values
of price ranges gathered from randomly selected market participants from energy,
brokerage and financial firms. The 9:30 a.m. Central Time report is based on information
gathered between 9:10 and 9:25 a.m. Central Time. The 11:45 a.m. Central Time report is based
on information gathered between 11:25 and 11:40 a.m. Central Time.



CCFE SO2 Futures Market Prices

June 12, 2006 Mid-Day Price

Contract Price

June 2006 $595

July 2006 $597

Aug 2006 $600



CCFE SO2 futures contracts require sellers to deliver current or earlier vintage (see CCFE Member Advisory 2005-11 for details).



Disclaimer

Cash market information provided herein is a summary of quotes provided to CCFE
by market participants. The information does not represent a recommendation, trading
advice or prediction of market conditions CCFE takes no responsibility for any decisions

made on the basis of this information.




The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.





June 12, 2006



Edited by Jim Kharouf



Lead Stories



Nymex relents and allows electronic trade

By Kevin Morrison, Commodities Correspondent

For 23 years the price of oil has largely been determined on the trading floor of the New York Mercantile Exchange, the world's largest commodity exchange. But that may be about to change from today.

http://news.ft.com/cms/s/0d15e842-f9af-11da-8ced-0000779e2340.html



CBOT Full-Sized Silver Futures Options Launch Today - Wolverine Trading And Consolidated Trading To Build Two-Sided Market

The Chicago Board of Trade (CBOT®) announced that today marks the first day of trading for its options contract on its CBOT Full-sized (5,000 oz.) Silver futures contract. Building off the success of the CBOT Metals complex, the new contract will begin trading exclusively on the Exchange’s e-cbot electronic trading platform.

http://www.exchange-handbook.co.uk/news_story.cfm?id=59874



First Middle East futures exchange debuts in Dubai

Reuters

Dubai opened the Middle East's first currency futures exchange on Monday in a bid to establish the wealthy Gulf emirate as a currency trading hub between London and the Far East.

http://asia.news.yahoo.com/060612/3/2lshn.html



Dubai Mercantile Exchange unveils details of Oman Crude Oil Futures contract

OilOnline

Dubai - The Dubai Mercantile Exchange Limited announced details of its Oman Crude Oil Futures Contract at the prestigious Asia Oil & Gas Conference (AOGC) in Kuala Lumpur, Malaysia and updated the market on its progress towards launch in the fourth quarter of 2006.

Chief Executive Gary King revealed that the contract will be known officially as the Oman Crude Oil Futures Contract. Developed in collaboration with the Sultanate of Oman’s Ministry of Oil and Gas, Ministry of Finance and Petroleum Development of Oman (PDO), the contract has undergone intensive market consultation and will contain the following key terms and conditions:

http://www.oilonline.com/news/headlines/firms_faces/20060612.Dubai_Me.21448.asp



German Bank Federation Doubts Shareholders Will Sign Off on NYSE-Euronext Deal

Matt Moore, AP

The managing director of an influential German banking association said Monday that it's unlikely shareholders will sign off on a deal between the New York Stock Exchange and European exchange operator Euronext NV.

http://biz.yahoo.com/ap/060612/germany_euronext_nyse.html?.v=1



Euronext

FT

French president Jacques Chirac called for a Franco- German alliance to rival the NYSE's bid for Paris's Euronext stock market.

http://news.ft.com/cms/s/17b22652-f9b0-11da-8ced-0000779e2340.html



Deutsche Boerse to reconsider Euronext bid over next few days - report

The newspaper said the issue on the table for Deutsche Boerse''s chief executive Reto Francioni and its directors is if the company should quit, or come back with a revised offer for Euronext.

On Friday, Deutsche Boerse chief financial officer, Mathias Hlubek, said at a New York conference that the company could potentially sweeten its offer, by proposing to combine with Euronext based on the two companies'' current share prices, rather than three-month trailing average prices. Meanwhile, the Financial Times Deutschland reported that Deutsche Boerse sees no need to hike its offer for Euronext, citing people close to the matter.

http://www.sharewatch.com/story.php?storynumber=133905

JK**** "Over? Did you say over? Nothing's over till we decide it is! Now who's with me? Let's goooo!" Bluto - Animal House.



NYSE in Europe?

Investors Won't Notice Much Change at First

Brooke A. Masters and Paul Blustein -Washington Post Staff Writers

For small investors, the New York Stock Exchange's $10 billion plan to buy Paris-based Euronext NV, owner of four European stock exchanges, holds a lot of far-off promise but relatively little in the short term.

http://www.washingtonpost.com/wp-dyn/content/article/2006/06/10/AR2006061000159.html?nav=rss_business/economy



CHX nears sale of major stake

BY DAVID ROEDER - chicago Sun Times

The Chicago Stock Exchange is close to an agreement to sell a significant share of its operations to four large investment firms, sources said.

The deal, which could be worth about $6 million, would give the financially stressed exchange capital to roll out an enhanced electronic trading system. The exchange hopes the system will help it capture trading that now moves through the New York Stock Exchange and the Nasdaq Stock Market.

http://www.suntimes.com/output/business/cst-fin-chx12.html

JK**** Significant for one reason. Calls by the Chicago financial community for a super-Chicago exchange could be dashed here.



M&A, Unlike Housing, Stocks, Bonds, Draws Record Multiple Bids

Bloomberg

The housing boom is over. Commodities are in a swoon and stocks are sinking. Only the market for mergers and acquisitions is hot, drawing more multiple bidders for corporate takeovers than ever before.

http://www.bloomberg.com/apps/news?pid=10000082&sid=agXkTWHKLX28



Cox Urges Options Exchanges To Quote In Pennies

The Securities and Exchange Commission Chairman Christopher Cox sent a letter Wednesday to the six options exchanges urging them to begin quoting a limited number of options in pennies on Jan. 29. Options are currently quoted in increments of nickels and dimes.

http://www.compliancereporter.com/default.asp?page=1&SID=635509&ISS=22028&pressbox=1



Exchange & ECN News



Korea Exchange faces hurdles, arguments over share pricing

Earlier this year at a ceremony marking its 50th anniversary, Lee Young-tak, the chairman and CEO of the nation's single stock exchange market, the Korea Exchange, reaffirmed its resolve to make an initial public offering in 2006.

http://www.koreaherald.co.kr/SITE/data/html_dir/2006/06/13/200606130016.asp

**** Korean Exchange IPO in the works.



MM Warburg Ups Deutsche Boerse EPS Estimates

Dow Jones Newswires

MM Warburg ups Deutsche Boerse's (DB1.XE) '06 EPS estimate to EUR5.67 from EUR4.58, '07 EPS to EUR5.67 from EUR4.96, '08 EPS to EUR5.92 from EUR5.26. Says changes partially take into acccount an expected strengthening in earnings trends at Xetra and Eurex. Brokerage also says the company's total cost target of EUR1.1B in '06 is likely to be met. But notes, "the risk of Deutsche Boerse being left out in the cold in the current consolidation process has increased considerably." Keeps hold rating, target price at EUR101. Shares trade -0.2% at EUR99.77. (HAD)

http://www.newratings.com/analyst_news/article_1295080.html



SE Asia Stocks-SGX drops as World Cup dries up volume

SINGAPORE (Reuters)

In Singapore, Singapore Exchange, Asia's third-largest listed stock market, led losses on the index after it shed 4.4 percent.

Traders said investors are selling the stock on concerns that the exchange's earnings would be hurt as trading volume dries up during the month-long soccer World Cup, which kicked off on Friday.

http://asia.news.yahoo.com/060612/3/2ls00.html

JK**** Just a guess but I don't think we'll have the same problem in the US. My survey indicated a record 1,127 Americans will watch the World Cup…Sorry, after a recount, some thought I said Winston Cup, the number is 12.



Tokyo Financial Exchange and Dalian Commodity Exchange Sign Memorandum of Understanding (MOU)

http://www.tfx.co.jp/en/newsfile/pdf/tfx_dce_e060609.pdf



London Stock Exchange Announces Fix Gateway Service, Linking Buy-Side And Sell-Side Direct

The London Stock Exchange today announced details of its FIX Gateway service, a vendor-neutral, high-speed message routing service which provides a single connection for buy-side clients to sell-side brokers and other execution venues.

Martin Graham, Director of Market Services at the London Stock Exchange, commented:

http://www.londonstockexchange.com/en-gb/about/Newsroom/pressreleases/2006/fixgateway.htm



Czech broker Colosseum becomes CME exchange partner

Czech broker Colosseum has become a partner of the Chicago Mercantile Exchange (CME) and will give publicity to one of its products, CME E-mini futures, to attract new clients, Colosseum head Jiri Stastny has told CTK.

Colosseum is a specialist for commodity and derivatives markets, and last year it showed the best results in history.

http://www.praguemonitor.com/ctk/?story_id=w34251i20060612;story=Czech-broker-Colosseum-becomes-CME-exchange-partner



Helsinki District Court rejected the claims of twenty banks and brokerage firms against OMX

Helsinki District Court rejected the claims of twenty banks and brokerage firms against OMX. The award holds that twenty of twenty-two banks and brokerage firms in total are precluded from presenting their claims.

OMX Exchanges Ltd and Helsinki Stock Exchange Ltd, subsidiaries of OMX AB, and Finnish Central Securities Depository Ltd (APK), a former subsidiary of OMX AB, are since June 2004 defendants in a lawsuit in Helsinki District Court in which twenty two banks and brokerage firms have made claims totaling to approximately EUR 5.1 million plus interest related to value added tax that the banks and brokerage firm paid to Helsinki Exchanges and APK for trading and clearing services during years 1995–2000.

http://www.omxgroup.com/omxcorp/presscenter/pressreleases/Observer_Article/?id=2006060921040&company=0



NASDAQ To Acquire Primezone Media Network

The Nasdaq Stock Market, Inc. (NASDAQ®; NDAQ), today announced it has entered into a definitive agreement to acquire PrimeZone Media Network, a privately held, Los Angeles-based firm specializing in press release newswire and multimedia services.

http://www.exchange-handbook.co.uk/news_story.cfm?id=59875



Borsa Italiana upgrades trading platform

With a view to further enhancing the efficiency of the derivatives market, on 22 May 2006 Borsa Italiana introduced the new version of the IDEM market trading platform Click 18.2, developed by the Swedish Company OM and implemented with the collaboration of BIt Systems and SIA.

http://www.finextra.com/fullpr.asp?id=9848



Environmental Trading



Health Professionals Must Help Tackle Climate Change

Climate change is a major public health threat which health professionals must help to tackle, argues an expert in this week's BMJ.

The most feasible policy for tackling global warming is contraction and convergence - a carbon cap and trade policy designed to stabilise and then reduce global carbon dioxide emissions, writes Dr Robin Stott.

http://www.medicalnewstoday.com/medicalnews.php?newsid=44878&nfid=rssfeeds



For more environmental trading news, subscribe to the Environmental Markets version of the John Lothian Newsletter edited by Jim Kharouf.



Click here to subscribe: jimkharouf-request@johnlothiannewsletter.com?subject=subscribe





Regulatory News



The SEC News Digest

The SEC News Digest provides daily information on recent Commission actions, including enforcement proceedings, rule filings, policy statements, and upcoming Commission meetings.

http://www.sec.gov/news/digest.shtml



FSA: U.S. rules would not apply if LSE is bought

Regulator warns integration could present regulatory problems in future

Simon Kennedy, MarketWatch

MarketWatch

The U.K.'s financial regulator said Monday that U.S. regulations, including the much vilified Sarbanes-Oxley Act, would not automatically apply to British companies in the event that a U.S. bourse bought the London Stock Exchange.

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7B4C0820BE%2D88FE%2D4781%2DA3B4%2DDDA7EA391CE0%7D&dist=rss&siteid=mktw&rss=1



U.S. regulations would not apply to UK listed stocks: FSA

UK regulator outlines what foreign ownership of London Stock Exchange may mean

By James Langton

The UK’s Financial Services Authority has issued a statement outlining what foreign ownership of a UK-based stock exchange may mean for regulation.

http://www.investmentexecutive.com/client/en/News/DetailNews.asp?Id=34319&IdSection=8&cat=8



Nasdaq-owned LSE would not face US rules: British finance body

Companies listed on the London Stock Exchange (LSE) would not come under the jurisdiction of US regulators if the LSE were bought by the US Nasdaq Stock Market, the British Financial Services Authority (FSA) has revealed.

FSA chairman Callum McCarthy gave the finance watchdog's verdict in a statement which followed talks with the FSA's US counterpart the Securities and Exchange Commission (SEC).

http://www.channelnewsasia.com/stories/afp_world_business/view/213249/1/.html



NYSE Fines Firms $925K For Records, Supervision Violations

Institutional Investor

NYSE Regulation fined three firms a total of $925,000 for record retention failure and supervision breakdowns.

http://www.dailyii.com/article.asp?PositionID=2597&ArticleID=1041279



Investments - Indexes - Managed Futures - Managed Funds



Focus: Make money not war

The Sunday Times

Hedge funds are to banking what hippies were to the Sixties establishment — feared, shunned, misunderstood. And while flower power had Woodstock, those who control the flow of billions of pounds of investments gave themselves Hedgestock. Louise Armitstead reports on an extraordinary festival of capitalism

http://business.timesonline.co.uk/article/0,,9063-2219821,00.html



The Investment Biker Rides Again

By David Kuo

In 1990 Jim Rogers embarked on a 65,000-mile motorcycle journey through six continents to explore some emerging markets. But long before Rogers (NYSE: ROG - news) made his epic journey he was already firmly established as one of Wall Street's most successful investors.

http://uk.biz.yahoo.com/12062006/35/investment-biker-rides.html

JK**** A look back at Jim Rogers' investment advice.



AIM Trimark Investments Unveils Unique Purchase Option

Recognizing the evolving needs of both investors and advisors, AIM Trimark Investments today announced the launch of an industry-first purchase option, Lower Load 4 (LL4). This new sales option provides investors with greater flexibility in their portfolios by offering a unique alternative to the conventional deferred sales charge (DSC).

http://biz.yahoo.com/cnw/060612/aim_trimark_option.html?.v=1



State Street Expands Relationship with Calamos Investments(R) to Service an Additional $29.8 Billion In Assets

State Street Corporation (NYSE: STT - News), the world's leading provider of financial services to institutional investors, announced today that it has expanded its relationship with Illinois-based Calamos Investments® (Calamos) to provide fund accounting services for nine open-end mutual funds and one variable insurance fund representing nearly $29.8 billion in assets at April 30, 2006.\

http://biz.yahoo.com/bw/060612/20060612005861.html?.v=1



Reports



Bond Talk Today's Events

http://www.bondtalk.com/global.cfm?S=todaysevents



USDA Today

http://www.usda.gov/nass/PUBS/TODAYRPT/TODAY.HTM



Miscellaneous News



Ken Thomson dies at age 82

Former chairman of Thomson Corp. was Canada’s richest person

Billionaire Ken Thomson, whose worldwide business empire once included the Canadian newspaper chain founded by his father, has died at age 82.

http://www.investmentexecutive.com/client/en/News/DetailNews.asp?Id=34324&IdSection=9&cat=9



Trading Technologies Opens Houston Office

Trading Technologies International, Inc. (TT) today announced it has opened a new office in Houston, Texas. The new office will provide TT's X_TRADER® electronic trading software and other technology solutions to energy firms and local trading groups, including banks and proprietary trading firms.

http://biz.yahoo.com/prnews/060612/cgm030.html?.v=51



Morgan Stanley Hires Iseley, Wijay to Build Wholesale Mortgage Lending Unit

Morgan Stanley (NYSE: MS) announced today that Wes Iseley and Arvin Wijay have joined Morgan Stanley Credit Corp. in Orange County, California as Executive Vice President and Senior Vice President, respectively. Mr. Iseley, who will be Head of Wholesale Mortgage Lending, and Mr. Wijay previously worked for Santa Monica-based Fremont General Investment & Loan.

http://www.morganstanley.com/cgi-bin/morganstanley.com/pressroom.cgi?action=load&uid=499



HSBC to expand in India

Asia Times

LONDON - HSBC, one of the world's largest banking and financial services organizations, plans to expand its activities in India with the opening of its branches in Raipur, Jodhpur and Lucknow in the next few months, a senior bank official said.

http://atimes.com/atimes/South_Asia/HF13Df03.html



Lehman Brothers' earnings leap 47%

By Daniel Pimlott in New York - FT

Lehman brothers logoLehman Brothers reported a 47 per cent jump in net income on Monday in its second best quarter ever, but its shares slumped to their lowest level in six months on inflation fears.

https://registration.ft.com/registration/barrier?referer=http://news.ft.com/home/us&location=http%3A//news.ft.com/cms/s/83f7c408-fa09-11da-b7ff-0000779e2340.html

(Subscription required)



Observations – Statistics - Commentary



John is out of the office today and Tuesday. In the immortal words of Al Haig, “I’m in control here.”



John J. Lothian

Publisher

John Lothian Newsletter

www.johnlothiannewsletter.com




Futures Brokerage - Business Intelligence




John J. Lothian
President- Electronic Trading Division
The Price Futures Group, Inc.
141 West Jackson Blvd., Suite 1340A
Chicago, IL 60604

jlothian@pricegroup.com
johnlothian@johnlothian.com
IM: LothianJohnJ
http://www.pricegroupetd.com
tel:
tel2:
fax:
mobile:
+1 312-264-4350
+1 800-713-0215
+1 312-264-4399
+1 312-203-5515










Add me to your address book...
Want a signature like this?








Disclaimer: The John Lothian Newsletter and Environmental Markets newsletter are products of John J. Lothian & Company, Inc. The opinions expressed in the John Lothian Newsletter and Environmental Markets are strictly the opinions of John J. Lothian & Company, Inc., and not necessarily those of Mr. Lothian’s employer, The Price Group and its management, and is intended solely for informative purposes and is not to be construed, under any circumstances, by implication or otherwise, as an offer to sell or a solicitation to buy or trade in any commodities or securities herein named. Information is obtained from sources believed to be reliable, but is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. Security futures are not suitable for all customers.



Futures and options trading involve risk. Past results are no indication of future performance.



This is an opt-in newsletter. If you wish to unsubscribe, please check the address of list you are receiving the newsletter from and then click on the appropriate link below.



mailto:johnlothiannewsletter-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter1-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter2-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter3-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter4-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter5-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:jimkharouf-request@johnlothiannewsletter.com?subject=unsubscribe



If the unsubscribe links above do not work for you, please send an email to johnlothian@johnlothian.com with unsubscribe in the subject line.



The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.

June 8, 2006



Edited by Jim Kharouf (jkharouf@sbcglobal.net)



Lead Story



Renewable Energy Effort Gains Steam in US Congress

Chris Baltimore - Reuters

A group of mostly farm-state lawmakers in the US Congress want the federal government to require that 25 percent of the nation's energy come from renewable sources like ethanol and solar power by 2025.

Four US senators including panel chairmen Charles Grassley of Iowa and Dick Lugar of Indiana Wednesday pledged to support a nonbinding bipartisan resolution calling for Congress to act on the so-called "25-by-25" plan. Four House lawmakers also endorsed it, including Bob Goodlatte, chairman of the House Agriculture Committee.

http://today.reuters.com/news/newsarticle.aspx?type=politicsNews&storyID=2006-06-07T231929Z_01_N07213356_RTRUKOC_0_US-ENERGY-CONGRESS-RENEWABLES.xml&pageNumber=0&imageid=&cap=&sz=13&WTModLoc=NewsArt-C1-ArticlePage2



US/Canada News



Bush Hosts Ceremonial Swearing-in for Interior Secretary

Deb Riechmann - Associated Press

Kempthorne told senators he was eager to expand oil and gas development on public lands and waters that already produce 30 percent of the nation's domestic supply of energy.

http://www.enn.com/today.html?id=10631



NYC, eight states argue for appeal in legal battle against top US emitters

Oral arguments were held yesterday in favour of appealing a suit against major US power companies, which could lead to a legally binding emissions limit on greenhouse gases from those firms.

http://www.pointcarbon.com/Home/News/All%20news/Kyoto%20International/article15939-472.html

(Subscription required)



Emissions Exchange Program Aims to Reduce Greenhouse Gases

PBS

Among businesses addressing the global warming issue, the Chicago Climate Exchange is creating a trading market with financial incentives to reduce emissions of carbon dioxide, methane, and other greenhouse gases.

http://www.pbs.org/newshour/bb/environment/jan-june06/globalwarming_06-07.html



The U.S. Department of Energy Releases New Rules for GHG Registry

David Biello - EcoSystem Marketplace

In 1992, the U.S. Congress ordered the Department of Energy to set up a voluntary program for companies to report greenhouse gas emissions. A decade later, the President ordered the agency to make the program's reporting rules more accurate and credible. Do the recently released rules provide the foundation for a future regulatory scheme or are they just a convincing diversion? The Ecosystem Marketplace investigates.

http://ecosystemmarketplace.com/pages/article.news.php?component_id=4386&component_version_id=6348&language_id=12



World Bank goes carbon neutral

Environmental Finance

The World Bank and its private-sector arm, the International Finance Corporation (IFC), are becoming carbon neutral.

The organisations are responsible for approximately 148,000 tonnes of carbon dioxide emissions annually. The Bank's commitment – which took effect from 5 June, World Environment Day – covers its Washington, DC offices, its Spring and Annual meetings, staff commuting, and all operational travel from headquarters.

http://environmental-finance.com/onlinews/08junwbk.htm



Global Warming Presents New Business Opportunities

PBS

As various groups push to raise awareness of the adverse effects of global warming and energy prices continue to rise, companies are advertising greener, cleaner products that may cost a little more.

http://www.pbs.org/newshour/bb/environment/jan-june06/globalwarming_06-05.html



Solar Develops a Unique Three-Front Approach to Eco-Investing for Planetary Survival

Solar Energy Limited (OTCBB:SLRE) announces that it has crafted a unique suite of subsidiary ventures to address the primary environmental crises facing our planet today. By harnessing complementary aspects of the sun's power, Solar is preparing to symmetrically alleviate the marine and atmospheric CO2 overload with both demand-side and supply-side solutions.

http://www.redorbit.com/news/science/531462/solar_develops_a_unique_threefront_approach_to_ecoinvesting_for_planetary/index.html?source=r_science



A structured approach to managing energy

Mervyn Chapman, engineering services director, Energy 2000, offers a structured approach to getting the most out of any monitoring and targeting system.

M&T is is an effective tool for identifying where energy is being used on a site, providing ongoing comparisons of energy efficiency. However, we often encounter businesses that have failed to implement M&T successfully, but with the right expertise, have significantly reduced their operational costs.

http://www.edie.net/news/news_story.asp?id=11557



GM R&D Chief Sees Fuel Cell Boost From Ethanol Push

Reuters

The United States' sudden love affair with ethanol fuel will boost prospects for embracing hydrogen-powered fuel cells later, General Motors' research and development chief Lawrence Burns said on Wednesday.

http://www.planetark.org/dailynewsstory.cfm/newsid/36711/story.htm



Carmakers Say Combustion Engines Here For Years

Reuters

Internal combustion engines will rule the roost in the automotive world for decades to come despite the gradual rise of hydrogen-powered fuel cells that emit only water, industry experts say.

http://www.planetark.org/dailynewsstory.cfm/newsid/36712/story.htm

JK**** Somebody's wrong here, or worse.



Toyota's Cumulative Prius Sales Top 500,000 Units

Reuters

Toyota Motor Corp. said on Wednesday cumulative sales of its Prius hybrid car hit 504,700 units worldwide at the end of April, passing the half-million milestone in 8- years.

http://www.planetark.org/dailynewsstory.cfm/newsid/36713/story.htm

JK**** Do you ever get the feeling that Detroit automakers are getting beat - again?



Bank of America, Others Warm to Hybrid Car Rebates

Reuters

Bank of America Corp. on Wednesday said it will offer US$3,000 rebates to thousands of employees who buy hybrid vehicles, a move that could lead other large companies to provide similar "green" incentives.

http://www.planetark.org/dailynewsstory.cfm/newsid/36710/story.htm



Poised for an ethanol boom

Nathan Leaf - Wisconsin State Journal - nleaf@madison.com

Despite a recent setback in the state Legislature, Wisconsin's ethanol production continues to increase as local investors and farmers attempt to get in on a nationwide boom for the fuel.

http://www.madison.com/wsj/home/biz/index.php?ntid=86798



European News



Climate Change Call Could Boost Ethical Funds

David Burrows - Reuters

UK investors could see tidy returns from backing environmentally conscious companies after the call for tougher action on climate change from some of the country's biggest corporate names.

But financial experts are warning investors to check the green credentials of funds before they buy.

http://www.borsaitaliana.reuters.it/news/newsArticle.aspx?type=fundsNewsUK&storyID=2006-06-07T165259Z_01_ZWE760688_RTRUKOC_0_FINANCIAL-GREEN.xml&archived=False



UK appoints 'climate ambassador'

Richard Black - BBC News

The UK has appointed a special representative on climate change.

John Ashton, a career diplomat and government adviser, will be charged with building new international partnerships to tackle climate change.

http://news.bbc.co.uk/1/hi/sci/tech/5057678.stm



STOCKWATCH British Energy upgraded to ''neutral'' from ''reduce'' by UBS

AFX

In a note published this morning, the broker told investors that the changes to its recommendation and target for the nuclear energy group reflect higher assumed power prices after 2012 and a 30 pence premium for new nuclear opportunities.

http://www.sharewatch.com/story.php?storynumber=131773



EU to Convert "Wine Lake" to Energy

Reuters

BRUSSELS - The European Union has opened tenders to sell off wine surpluses in France and Italy to make biofuel or industrial alcohol at a cost of 131 million euros (US$168 million), the European Commission said on Wednesday. France would distil a maximum of 1.5 million hectolitres of table wine and the same amount of quality wine, while Italy would distil 2.5 million hectolitres of table wine and 100,000 hectolitres of quality wine, it said in a statement.

http://www.planetark.org/dailynewsstory.cfm/newsid/36714/story.htm



Polish CO2 Permits Surplus in '05 Not Big - Sources

Reuters

WARSAW - Poland is unlikely to show a big surplus of CO2 emissions permits for 2005 and could allow installations to keep part of such surpluses for the second phase of the EU trading scheme from 2008, sources close to the registry said.

http://www.planetark.org/dailynewsstory.cfm/newsid/36703/story.htm



Italy Bids to Shake Off 'Dirty Man Of EU' Image

Reuters

Italy's new environment minister said on Wednesday he hoped the country could avoid at least 10 million euros (US$12.82 million) in fines for repeatedly breaking European Union environmental law.

http://www.planetark.org/dailynewsstory.cfm/newsid/36699/story.htm



Simplicity, transparency', for EU ETS - Dimas

Environmental Finance

Member states should ensure that their allocation plans for the next phase of the EU Emissions Trading Scheme (ETS) are simpler and more transparent than those for Phase I, says EU Environment Commissioner Stavros Dimas.

http://environmental-finance.com/onlinews/08jundim.htm



GE, PowerLight Break Ground on World's Largest Solar Photovoltaic Power Plant

Business Wire

GE Energy Financial Services, PowerLight Corporation and Catavento Lda broke ground today on the world's largest solar photovoltaic power project. The 11-megawatt solar power plant, comprising 52,000 photovoltaic modules, is under construction in Serpa, Portugal, 200 kilometers (124 miles) southeast of Lisbon in one of Europe's sunniest areas.

http://www6.lexisnexis.com/publisher/EndUser?Action=UserDisplayFullDocument&orgId=1925&topicId=100002042&docId=l:393305519&start=9&dateId=20060606



Jump seen in clean energy incubators

Environmental Finance

There has been a dramatic increase in the number of business incubators specialising in developing clean energy companies, according to New Energy Finance (NEF).

http://environmental-finance.com/onlinews/08juninc.htm





Asia news



Researchers Find Payments for Ecosystem Services Present Challenges, Opportunities in Southeast Asia

Alana Semuels - Ecosystems Marketplace

A team of researchers is working to refine payments for ecosystem services (PES) in Vietnam and Thailand. The Ecosystem Marketplace checks in on their progress.

http://ecosystemmarketplace.com/pages/article.news.php?component_id=4373&component_version_id=6334&language_id=12



Other



Energy Hedge Fund Center Announces New Book Energy and Environmental Hedge Funds – The New Investment Paradigm

Peter C. Fusaro and Dr. Gary M. Vasey, co-principals of the Energy Hedge Fund Center, LLC (EHFC), announce the publication of their new book ‘Energy & Environmental Hedge Funds – The New Investment Paradigm’ published by John Wiley on June 15th 2006.

http://www.prweb.com/releases/2006/6/prweb395292.htm



**** JK Peter Fusaro is a regular contributor to this newsletter and has written extensively about the environmental trading space. Fusaro and Vasey also announced recently that they had formed Energy and Environment Capital Management LLC. Fusaro and Vasey are also the co-founders of the Energy Hedge Fund Center, a popular online community focused on energy, environment and hedge funds www.energyhedgefunds.com and are the co-editors of the on-line newsletter - Energy Hedge.



The latest issue of Environmental Finance is now available, including a special section on environmental venture finance.

In this month's issue:



– EU Environment Commissioner Stavros Dimas writes exclusively about the Commission's approach to member states' plans for the next phase of the EU Emissions Trading Scheme (ETS).

– We review the dramatic developments in the EU ETS, which saw the price of carbon dioxide allowances crash, before recovering dramatically. While environmental market veterans claim to have expected the volatility, many traders were blind-sided.

– Venture capitalists (VC) are enthusiastically piling in to 'clean technology' companies – but the proof of the concept will be when they monetise their investments via 'exits'. We talk to leading cleantech investors to examine the potential for profit.

– Sean Brownlee and Ali Erfan of private equity giant 3i look at what 'mainstream' VC investors can bring to the emerging cleantech sector.

– Where next for weather risk management? Trading houses are driving dramatic growth in market volumes, but end users remain elusive.

http://environmental-finance.com/onlinews/08juncon.htm



Global Warming May Worsen Allergies

Researchers Say Rising Carbon Dioxide Levels Will Up Pollen Production

Salynn Boyles - WebMD Medical News

We all may be sneezing, sniffling, and scratching more in decades to come, due to global warming.

Harvard researchers say that higher levels of the greenhouse gas will also boost pollen production, causing allergy sufferers to suffer even more in the future.

http://www.webmd.com/content/article/16/1625_51291.htm



Events/Reports



Environmental Trading Congress

Strategies for Succeeding in the Environmental Financial Markets

July 24th - 25th, 2006, New York Helmsley, NYC

http://www.frallc.com/conference.aspx?ccode=b371



How Changes in the Arctic are Affecting the Rest of the World

Thursday, June 15, 2006

8:00 a.m. - 1:00 p.m.

Venue: United States Senate

http://www.eesi.org/briefings/2006/Energy&Climate/6.15.06_ClimateSymposium/6.15.06ClimateSymposium.htm



9th Annual Renewable Energy and Energy Efficiency Expo and Forum

Tuesday, June 20, 2006

9:00 am – 5:00 pm , 345 Cannon House Office Building (Caucus Room)

http://www.eesi.org/briefings/2006/NonEESIEvents/5.20.06SECExpo.htm



General Electric

www.ge.com/ecoreport





Chicago Climate Exchange



Chicago Climate Futures Exchange SO2 Allowance

Cash and Futures Market Prices Survey Report

Thursday, June 8, 2006-11:45 a.m. Central Time Report



SO2 Allowance Cash Market Survey

Vintage Bid Offer Last

2006 (or earlier) $582 $587.50 $582.50 (June 8th)

2007 $577 $582.50



Cash Market Price Survey Overview

The SO2 cash market price information provided above reflects central values
of price ranges gathered from randomly selected market participants from energy,
brokerage and financial firms. The 9:30 a.m. Central Time report is based on information
gathered between 9:10 and 9:25 a.m. Central Time. The 11:45 a.m. Central Time report is based
on information gathered between 11:25 and 11:40 a.m. Central Time.



CCFE SO2 Futures Market Prices

June 8, 2006 Mid-Day Price

Contract Price

June 2006 $587

July 2006 $589

Aug 2006 $592



CCFE SO2 futures contracts require sellers to deliver current or earlier vintage (see CCFE Member Advisory 2005-11 for details).



Disclaimer

Cash market information provided herein is a summary of quotes provided to CCFE
by market participants. The information does not represent a recommendation, trading
advice or prediction of market conditions CCFE takes no responsibility for any decisions

made on the basis of this information.






June 8, 2006



Lead Stories



SEC urges limited options market penny quoting

WASHINGTON, June 7 (Reuters) - U.S. Securities and Exchange Commission Chairman Christopher Cox on Wednesday urged six major options exchanges to begin quoting a limited number of options in pennies on Jan. 29, 2007. Options are now quoted in increments of nickels and dimes. "Quoting in penny increments will benefit investors by allowing options quotes and orders to be expressed at better prices, and has the potential to enhance further the already strong competition and innovation that exists in the options markets," Cox said in a statement.

http://today.reuters.com/investing/financeArticle.aspx?type=governmentFilingsNews&storyID=2006-06-07T171815Z_01_N07212841_RTRIDST_0_FINANCIAL-SEC-PENNY-UPDATE-1.XML



SEC Asks for Penny Pricing on Options

By Lauren Rae Silva

Options might soon be quoted in pennies.

Securities and Exchange Commission Chairman Christopher Cox sent a letter to the six major U.S. options exchanges asking that they start providing options prices in increments of pennies, rather than the 5- and 10-cent increments that are used now.

http://www.thestreet.com/_googlen/stocks/brokerages/10290386.html



Europe needs to create strong bourses - Germany

ZURICH, June 8 (Reuters) - Europe needs to create stock exchanges that can hold their own in the global market, though it should be company boards and shareholders that decide on mergers in the industry, a senior German government official said on Thursday. "It's important to create exchanges for Europe that can hold their own in global competition," Joerg Asmussen, a director general at the German finance ministry, told a stock exchange conference. "We cannot have integration at any price," Asmussen said.

http://today.reuters.com/stocks/QuoteCompanyNewsArticle.aspx?view=CN&storyID=2006-06-08T084354Z_01_L0829802_RTRIDST_0_FINANCIAL-EXCHANGE-UPDATE-1.XML&rpc=66



CME chief blasts case for single European CCP

ZURICH, June 8 (Reuters) - A single European clearing house for securities trading would harm competition and could raise costs for users, Chicago Mercantile Exchange's (CME.N: Quote, Profile, Research) Chief Executive Craig Donohue said on Thursday. "That proposal spells the end of competition for providing innovative and efficient clearing and settlement structures," Donohue told a financial markets conference in Zurich.

http://today.reuters.com/stocks/QuoteCompanyNewsArticle.aspx?view=CN&storyID=2006-06-08T150419Z_01_L08304117_RTRIDST_0_FINANCIAL-EXCHANGES-CLEARING.XML&rpc=66



CME says can be very selective on mergers

ZURICH, June 8 (Reuters) - Chicago Mercantile Exchange (CME.N: Quote, Profile, Research) Chief Executive Craig Donohue said the U.S. futures exchange can afford to be choosy when it comes to deciding on any industry consolidation because of its strong financial position. "We are in a very strong position to be very selective about the things we should do," Donohue told reporters on the sidelines of a financial conference.

http://today.reuters.com/stocks/QuoteCompanyNewsArticle.aspx?view=CN&storyID=2006-06-08T130631Z_01_L08250762_RTRIDST_0_FINANCIAL-EXCHANGES-CME-URGENT.XML&rpc=66



CME CEO Sees Synergies From Derivatives Mergers

ZURICH (Dow Jones)--Chicago Mercantile Exchange Holdings Inc. (CME) Chief Executive Craig Donohue said Thursday that he believes there are synergies to be achieved in derivative exchange mergers.

Speaking to the tenth European Financial Markets Convention here, Donohue was responding to questions about the synergies that NYSE Group Inc. (NYX) and Euronext NV (24151.AE) expect from their planned linkup. NYSE expects $375 million in merger benefits, with the lion's share stemming from cost savings. Donohue said he does see opportunities for synergies in electronic trading and in exchange infrastructure. He said there would be "growth synergies as well".

http://online.wsj.com/article/BT-CO-20060608-707453.html?mod=hps_us_my_companies



CME Not Ruling Out Acquiring Cash Equities Exchange

http://www.exchange-handbook.co.uk/news_story.cfm?id=59803



Craig Donohue Speech

EFFICIENT CLEARING AND SETTLEMENT SYSTEMS: A CASE FOR MARKET-DRIVEN SOLUTIONS

10th European Financial Markets Convention

http://www.johnlothiannewsletter.com/phpbb/viewtopic.php?p=273#273



ECB Chief Trichet Urges Euronext to Merge in Europe (Update4)

June 8 (Bloomberg) -- European Central Bank President Jean- Claude Trichet urged Euronext NV to seek a merger with Deutsche Boerse AG instead of NYSE Group Inc., becoming the third policy maker in three days to press for a pan-European deal.

http://www.bloomberg.com/apps/news?pid=10000100&sid=aGZVhM5irvuo



ECB chief hits out at Euronext merger

Edgar Meister, a member of the board of the German central bank, yesterday added his voice to growing calls for Euronext to take a European partner rather than merge with the New York Stock Exchange as planned.

http://news.independent.co.uk/business/news/article723269.ece



City lures leading US hedge fund managers

THREE leading American hedge funds are planning to open offices in London in a move to gain better access to European investors and increase their trading in the region’s capital markets.

Paulson Partners, Touradji Capital and Canyon Capital are among the growing number of American hedge funds that are coming to the City as they expand into Europe.

http://business.timesonline.co.uk/article/0,,9063-2215802,00.html



Big deal?

Commentary: Hyping NYSE-Euronext, eulogizing Fulcrum

By David Weidner, MarketWatch

NEW YORK (MarketWatch) -- These are exciting times in the world's stock markets -- that is unless you are an investor trading on them. The ink and airtime generated by the NYSE's linkup with Europe's biggest cash equities market (FR:005777: news, chart, profile) rivaled that of a new iPod launch by Apple Computer. "The New York Stock Exchange took a big step yesterday toward the creation of a global marketplace" crowed The New York Times. The Times of London heralded "an historic deal to create the world's biggest stock exchange."

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7BF1088353%2D7351%2D4C84%2D8362%2DC12EF484BD1C%7D&dist=rss&siteid=mktw&rss=



SFE ginger group wants sacrifice

THE chairman of the Australian Stock Exchange, Maurice Newman, will find himself having to make some pretty tough decisions over the coming weeks as large shareholders in the exchange's merger target, the Sydney Futures Exchange, lay down the law.

http://www.smh.com.au/news/business/sfe-ginger-group-wants-sacrifice/2006/06/07/1149359817753.html



ASX man's big slice of SFE

Michael Evans says a privilege is not one unless you can make a welter of it.

RUSSELL Aboud, a non-executive director of the Australian Stock Exchange, might be following the emerging stoush over the ASX's proposed merger with the Sydney Futures Exchange a little closer than most. For most punters, it's probably enough to enjoy the tussle between the ASX and disgruntled fundies wanting a bit more money out of the ASX for their SFE stake or even the public musings that SFE boss Robert Elstone might do a better job running the combined entity than Tony D'Aloisio.

http://www.smh.com.au/news/cbd/asx-mans-big-slice-of-sfe/2006/06/07/1149359817777.html



NZ bourse sees takeover by Australian rival unlikely

WELLINGTON, June 8 (Reuters) - NZX Ltd. , operator of New Zealand's stock exchange, is unlikely to be taken over easily, given a 10 percent ownership cap that is subject to a government veto, its chief executive said on Thursday.

http://asia.news.yahoo.com/060608/3/2lmx7.html



Börse chief has 'room for manoeuvre' over Euronext

Reto Francioni, chief executive of Deutsche Börse, is hinting he is prepared to offer further concessions on issues such as management structure and price to win over shareholders in the battle for rival stock exchange operator Euronext.

http://news.moneycentral.msn.com/provider/providerarticle.asp?feed=FT&Date=20060607&ID=5780600



SEC Chmn Cox Comments On International Exchange Mergers

NEW YORK -- U.S. Securities and Exchange Commission Chairman Christopher Cox said financial exchanges involved in international mergers would continue to fall under the jurisdiction of their national regulators.

http://online.wsj.com/article/BT-CO-20060607-006085.html?mod=hps_us_my_companies



Deutsche Boerse Lobbies Euronext Shareholders

PARIS (Dow Jones)--In his bid to woo over Euronext NV (24151.AE) shareholders, Deutsche Boerse AG (DB1.XE) Chief Executive Reto Francioni has been at pains to stress the Frankfurt exchange wouldn't dominate a combined entity. Francioni met with a handful of shareholders in Paris Wednesday to push Deutsche Boerse's bid for Euronext, which last week shunned its Frankfurt-based rival's advances by agreeing to a $10 billion takeover by NYSE Group Inc. (NYX). Sylvain de Forges, head of financial operations at Veolia Environnement (VE), was at the meeting with Francioni and said the CEO was keen to dispel concerns that Deutsche Boerse would manage a merged exchange centrally from Frankfurt.

http://online.wsj.com/article/BT-CO-20060608-710023.html?mod=hps_us_my_industries



“European Financial Markets - From Champions League To World Cup” - Speech By Joerg Asmussen, Director General, Federal Ministry Of Finance, Germany, At FESE 10th European Financial Markets Convention

http://www.exchange-handbook.co.uk/news_story.cfm?id=59807



Sell-Side Firms Will Face Direct Challenge From Global Stock Exchanges According To New Study From BearingPoint –

Exchange Consolidation Seen As Precursor To Entering Traditional Investment Banking Territory - Capital Markets Firms Will Use Technology To Identify Client “Investment DNA”, Allowing Companies To Deliver ‘Designer’ Products With Unprecedented Degree Of Customization

http://www.exchange-handbook.co.uk/news_story.cfm?id=59783



Chicago's Brave New World

Specialists are out. Market makers are in. The Chicago Stock Exchange, as part of its plan to reinvent itself as an ECN-like utility, is casting aside its decades-old specialist model. Instead it will operate more like Nasdaq with market makers competing against each others in the same stocks. The core of the revitalized exchange-which soon is expected to announce investments from large broker dealers, possibly including Goldman Sachs-is a matching engine.

http://www.tradersmagazine.com/magazine2.cfm?id=1&aid=2524&year=2006



An Arcane Corner of Finance Creates a London Billionaire

Mr. Spencer Builds an Empire As Derivatives Broker; Big Exchanges Move In A £1,000 Bet on His Shoes

By DAVID REILLY

LONDON -- As a young broker in London in the early 1980s, Michael Spencer was fired from one job for making a bad bet on gold and another for trying to hide losses on futures contracts. His career in tatters, he scraped together $60,000 with three partners to play another hunch: There was money to be made acting as middleman between big banks trading complex financial instruments. That wager has turned Mr. Spencer into one of Britain's richest men.

http://online.wsj.com/article/SB114973193604474522.html?mod=googlenews_wsj



Merrill Denies Banker Discussed NYSE Purchase Of ICAP

LONDON (Dow Jones)--Merrill Lynch & Co. Inc. (MER) denied a media report Thursday that one of its senior bankers discussed the possibility of the New York Stock Exchange buying interdealer broker ICAP PLC (IAP) to gain access to fixed-income business.

http://online.wsj.com/article/BT-CO-20060608-710094.html?mod=hps_us_my_industries



NYSE, Icap and the LSE adviser

A banker at the heart of the defence of the London Stock Exchange has been in discussions about one of the City's largest inter-dealer brokers being acquired by the New York Stock Exchange.

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2006/06/08/cnicap08.xml



Whirling Derivatives: Options and futures blurring on the edges

by Mark Longo

Convergence is a buzzword these days, except in derivatives. In the futures and options markets, convergence is more than a buzzword. Many exchanges see it as the future, although this has not always been the case. For decades, the two halves of the derivatives world all but ignored each other. After all, futures and options are two distinct product classes that require two very distinct marketplaces. These marketplaces even have different regulators, with the SEC watching over the options markets and the CFTC guiding the futures markets. In just about every respect, futures and options are different worlds. However, the fence between those worlds may not last much longer.

http://www.tradersmagazine.com/magazine2.cfm?id=1&aid=2520&year=2006



JGB Futures daily trading volume sets record high

http://www.tse.or.jp/english/news/2006/200606/060608_a.html



Reminder: CME Clearing and CME Globex Contra-party Information Changes

To improve the anonymity of the CME electronic marketplace, the following changes will be made to the CME Clearing (TREX) messages, the back-office Front-End Clearing (FEC) application, the official trade register report and the FIXML data file; and the CME Globex execution messages.

Effective Sunday, June 11
CME Globex execution messages for NYMEX products only, traded on the CME Globex platform, will be populated with the generic value "CME000A" in FIX tag 375, the contra-party Subscriber ID.
Effective Sunday, July 2
CME Globex execution messages for all products traded on the CME Globex platform will be populated with the generic value "CME000A" in tag 375.
Opposite broker and firm information will be removed from FEC.
Opposite broker and firm information will be removed from the official trade register report and FIXML data file.
TREX confirmation messages will be populated with the generic value "000" in the Opposite Firm field, position 76-80 of the main block.
These changes to the CME Globex execution messages for all products are currently available for testing in the CME certification environment.
http://www.cme.com/trading/get/adv/18848.html



**** Thank you Mr. Hehmeyer!



NYSE Group Engages Société Générale As Financial Advisor In Proposed Merger with Euronext N.V.

http://www.nyse.com/press/1149674941226.html



Mexican Derivatives Exchange Lures Timber Hill, Foreign Members

June 8 (Bloomberg) -- Timber Hill LLC, the biggest U.S. equity options market maker, is joining the Mexican Derivatives Exchange as its first foreign member, the chief executive of the bourse said.

http://www.bloomberg.com/apps/news?pid=10000086&sid=aspOhWmwcHhA



Commentary: Bring on the speculators

With the Mumbai Sensitive Index down 21 percent in the past month, it was a matter of time before someone linked the stock market crash to evil derivatives.

http://www.iht.com/articles/2006/06/08/bloomberg/sxmuk.php



Environmental Trading News



Europe's emissions trading is a model for the world - by Stavros Dimas

(FT) - Climate change is happening and tackling it is one of the highest priorities ofthe European Union. Member states are unanimous in their support of the Kyoto protocol and have committed themselves to meeting the EU's target of reducing emissions by 8 per cent by 2012. Making the political commitment was the essential first step but delivering on that commitment is the real challenge. The centrepiece of our response has been the development of the European Emissions Trading Scheme and the European carbon market.

http://www.europeanclimateexchange.com/pages/page575.php



For more environmental trading news, subscribe to the Environmental Markets version of the John Lothian Newsletter edited by Jim Kharouf.

Click here to subscribe: jimkharouf-request@johnlothiannewsletter.com?subject=subscribe



Exchange & ECN News



CBOT Establish Electronic Market Maker Program for 5 Year and 10 Year Interest Rate Swap Futures

http://www.cftc.gov/files/submissions/rules/selfcertifications/2006/rul060606cbot001.pdf



NYMEX Rule Numbers – Supplement No. 2, “Licensed Depositories and Licensed Weighmasters” of the Silver Futures Contract

Revised implementation Date for Brink’s Inc. Silver Depository

http://www.cftc.gov/files/submissions/rules/selfcertifications/2006/rul0606060nymex001.pdf



CME Liquidity Provider Program

http://www.cftc.gov/files/submissions/rules/selfcertifications/2006/rul060606cme001.pdf



HEDGESTREET Amendments to the Payout Criteria for all existing Nonfarm Payrolls Binary Hedgelet Contracts

http://www.cftc.gov/files/submissions/rules/selfcertifications/2006/rul060506hedgestreet001.pdf



NYMEX Deletion of COMEX Rules 111.43, 112.14 and 113.10

http://www.cftc.gov/files/submissions/rules/selfcertifications/2006/rul060206nymex001.pdf



PBOT Amendments discussed with Commission staff in connection with reinstatement of contract market designation

http://www.cftc.gov/files/submissions/rules/selfcertifications/2006/rul060106pbot001.pdf



Strike Price Notice - Dow, mini sized Dow, June 8, 2006

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1032+38973,00.html



Entry into a Material Definitive Agreement

On June 1, 2006, the Registrant, its wholly owned subsidiary the Board of Trade of the City of Chicago, Inc. and Bernard W. Dan, the Registrant’s President and Chief Executive Officer, entered into an amendment, dated June 1, 2006 (the “Amendment”), to Mr. Dan’s Employment Agreement dated September 21, 2005. Pursuant to the Amendment, in the event that Mr. Dan’s employment is terminated by the Registrant without cause or by Mr. Dan for good reason within the twelve-month period following a change in control, Mr. Dan will, in addition to the other payments and benefits provided for in the Employment Agreement, be entitled to be paid a termination amount equal to 2 times the sum of his base salary and performance bonus for the current year (calculated as if Mr. Dan achieved target performance levels for the year).

http://ccbn.10kwizard.com/xml/download.php?repo=tenk&ipage=4213663&format=RTF



CBOT boosts Dan pay-out in event of takeover

By Doug Cameron in Chicago

The Chicago Board of Trade yesterday boosted the pay-out for its chief executive in the event of a takeover in a move...

http://news.ft.com/cms/s/527f203c-f68b-11da-b09f-0000779e2340.html



CBOT sweetens severance deal

CBOT Holdings Inc., parent of the Chicago Board of Trade, will pay Chief Executive Bernard Dan double his salary and bonus, or $3.2 million, if he loses his job following a sale of the company, according to an employment agreement filed with the Securities and Exchange Commission Wednesday. Under a previous deal, Dan was entitled to 1.5 times his salary and bonus if he were let go within 12 months of a change of control.

http://www.chicagotribune.com/business/chi-0606080213jun08,1,7604177.story?coll=chi-business-hed



CBOT Ups CEO Payout In Event That Control Changes

http://online.wsj.com/article/BT-CO-20060608-709041.html?mod=hps_us_my_companies



CBOT to Launch Binary Options on the Target Federal Funds Rate

The Chicago Board of Trade today announced plans to expand its short-term interest rate product offerings, introducing electronically traded Binary Options contracts based upon the Target Federal Funds rate.

http://biz.yahoo.com/prnews/060608/cgth030.html?.v=58



New Mock Trading Session for NYMEX Products on the CME Globex Platform

http://www.cme.com/trading/get/adv/18847.html



Important Customer Market Data Alert

http://www.cme.com/trading/get/adv/18845.html



Reminder: CME Spread Type Changes

http://www.cme.com/trading/get/adv/18849.html



Updates: NYMEX Energy Products on the CME Globex Platform

http://www.cme.com/trading/get/adv/18846.html



CBOT 5,000 oz Silver Options

http://www.cme.com/clearing/clr/npadv/18834.html



New NYMEX Wireless Bandwidth Allocation Policy

http://www.nymex.com/notice_to_member.aspx?id=ntm302&archive=2006



Simulated Trading Event for Side-by-Side Trading

http://www.nymex.com/notice_to_member.aspx?id=ntm301&archive=2006



T-Online International AG: Merger into Deutsche Telekom AG

http://www.eurexchange.com/products/news_EQU/productNews_2006_06_08_561.html



Euronext.liffe launches equity options

http://www.euronext.com/news/press_releases/0,4159,1732_8275,00.html



NYSE Regulation, Inc. Announces Disciplinary Actions Against 21 Individuals, Six Firms

http://www.nyse.com/press/1149588681393.html



Application of Intraday Additional Margin Call

http://www.tfx.co.jp/en/newsfile/06/emergencymargin_e20060608.html



PHLX Supports Sec Chairman Cox's Penny Quoting in Options Recommendation

http://www.phlx.com/news/pr2006/06pr060706.htm



Monthly Market Report May 2006

http://www.londonstockexchange.com/en-gb/about/Newsroom/pressreleases/2006/mmrmay06.htm



Media Advisory - TSX Group CEO at Sandler O’Neill Financial Services Conference in New York City

http://www.tsx.com/en/news_events/news_releases/6-8-2006_TSXGroup-CEOatConferenceNYC.html



NASDAQ Announces Stock Splits For The BLDRS Index Funds

http://www.nasdaq.com/newsroom/news/pr2006/ne_section06_073.stm



Russia exchange embarks on gold contract trading

MOSCOW, June 8 (Itar-Tass) - The Russian stock exchange RTS began gold contract trading on Thursday.

http://www.itar-tass.com/eng/level2.html?NewsID=9721242&PageNum=0



London Stock Exchange: Value Of SETS Trades Up 107% In May - New Records Set Across Exchange’s Markets

http://www.exchange-handbook.co.uk/news_story.cfm?id=59804



Commentary - No Strategy is No Longer a Strategy for the London Stock Exchange

http://www.garp.com/risknews/newsfeed.asp?Category=6&MyFile=2006-06-08-12955.html



NYSE fines Prudential $850,000 for e-mail issue

NYSE Group Inc.'s regulatory unit said on Wednesday it fined Prudential Equity Group, part of Prudential Financial Inc. , $850,000 for failing to properly supervise electronic communications.

http://news.yahoo.com/s/nm/20060607/bs_nm/financial_nyse_prudential_dc_2



Regulatory News



The SEC News Digest

The SEC News Digest provides daily information on recent Commission actions, including enforcement proceedings, rule filings, policy statements, and upcoming Commission meetings.

http://www.sec.gov/news/digest/2006/dig060706.txt



E-learning Course

Regulatory Landscape: Introduction to Regulation in the U.S. Securities Industry

http://www.nasd.com/index.htm?ssSourceNodeId=5



SEC Chairman Cox Urges Options Exchanges to Start Limited Penny Quoting

http://www.sec.gov/news/press/2006/2006-91.htm



Commission Announces Speakers, Panelists, and Agenda for June 12 Interactive Data Roundtable

http://www.sec.gov/news/press/2006/2006-90.htm



SEC Files Fraud Charges Against Former Restaurant Executives for Undisclosed Compensation and Accounting Fraud; Former CEO Agrees to Pay $500,000 Civil Penalty

http://www.sec.gov/news/press/2006/2006-88.htm

See also: Litigation Release No. 19719; Litigation Release No. 19720

http://www.sec.gov/litigation/litreleases/2006/lr19719.htm

http://www.sec.gov/litigation/litreleases/2006/lr19720.htm



FSA assures firms they will not be judged retrospectively

Principles-based regulation focuses on the outcomes, and less on the route to achieving them.

The Financial Services Authority (FSA) today confirmed it will continue to judge firms' standards of product sales and financial advice by the standards and rules at the time of sale and not retrospectively. This policy will not be changed by the regulator's move towards more principles-based regulation.

http://www.fsa.gov.uk/pages/Library/Communication/PR/2006/054.shtml



VEB, Citibank receive intermediary licenses for futures trading

MOSCOW. June 8 (Interfax) - The Federal Financial Markets Service (FFMS) has issued three-year intermediary licenses for futures and option deals on the stock exchange to 17 organizations, including Vnesheconombank (VEB) and Citibank, the market regulators said in a press release.

http://www.interfax.com/3/164060/news.aspx



Lawmakers look to cut through hedge mystery

By Jeremy Grant

Chuck Hagel, senator from Nebraska, invoked the words of jazz bassist Charlie Mingus when he launched a recent Senate...

http://news.ft.com/cms/s/d5c12a36-f68a-11da-b09f-0000779e2340.html



Quebec still has no interest in a national securities regulator

http://www.investmentexecutive.com/client/en/News/DetailNews.asp?id=34284&IdSection=8&cat=8&BImageCI=1



Hedge FoFs See Little Benefit From SEC Registration

http://www.dailyii.com/article.asp?PositionID=2597&ArticleID=1041142



SEC DEAL OK FOR DIVA

By JANET WHITMAN

Martha Stewart may be cooking up a new recipe in her kitchen: humble pie. The domestic diva said yesterday that she's not fighting insider-trading allegations by the Securities and Exchange Commission.

http://www.nypost.com/business/67145.htm



PAULSON'S OTHER JOB AS WALL ST. PLUNGE PROTECTOR

By JOHN CRUDELE

QUICK, somebody tell soon- to-be Treasury Secretary Hank Paulson about the other part of his job: being a member of the Plunge Protection Team.

http://www.nypost.com/business/67140.htm



UBS employee stands trial for detonating 'computer bomb'

( InfoWorld ) - A former systems administrator for financial services firm UBS went on trial this week for allegedly infecting the company's network with malicious code that cost millions of dollars to recover from. Roger Duronio, 63, faces one count each of securities fraud and computer sabotage, and two counts of mail fraud in U.S. District Court in Newark, New Jersey. He has pled not guilty

http://www.infoworld.com/cgi-bin/redirect?source=rss&url=http://www.infoworld.com/article/06/06/08/79069_HNcomputerbomb_1.html



AIMA Urges Hedge Fund Managers To Prioritise MiFID Compliance,

The Alternative Investment Management Association (AIMA), has urged hedge fund managers not to drag their feet on implementing the Markets in Financial Instruments Directive (MiFID), and has warned that some hedge funds which do not meet the deadline may have to cease trading.

http://www.investorsoffshore.com/asp/story/storyinv.asp?storyname=23862



'Enron of Spain' Fallout Ripples Into U.S. Markets

U.S. Securities and Exchange Commission investigating relatively obscure New York stamp and coin trading firm called the Escala Group.

http://www.foxnews.com/story/0,2933,198526,00.html



News from under the bus II

Ambulance attacked en route to SPhinX wreck

Another battle in the age-old war between law and justice will be fought in US Bankruptcy Court in New York tomorrow, when investors in various SPhinX funds – and especially the managed futures variants – attempt to delay, if not derail, an agreement that will lift some $263 million from their collective pockets and forfeit all but a tiny proportion of their claims against the Refco estate.

Led by a coalition of the allegedly

http://nakedshorts.typepad.com/nakedshorts/2006/06/news_from_under.html#more



Investments - Indexes - Managed Futures - Managed Funds



Barclays Launches First iPathSM Exchange Traded Notes on the NYSE

Robert E. Diamond, Jr. President, Barclays PLC, rings The Opening BellSM

http://www.nyse.com/events/1149674940349.html



Replacement of Component Issues for Nikkei Stock Index 300 (Nikkei 300)

http://www.ose.or.jp/e/news/0606/060608a.html



Hedge funds post first losses of the year in May

BOSTON, June 7 (Reuters) - Hedge funds posted their first losses of the year in May as prices for stocks, metals and oil fell last month, according to data released on Wednesday. In May these lightly regulated investment funds, which jointly manage roughly $1.2 trillion, lost 1.16 percent, data from Chicago-based Hedge Fund Research show.

http://today.reuters.com/investing/financeArticle.aspx?type=marketsNews&storyID=2006-06-07T212622Z_01_N07225657_RTRIDST_0_FINANCIAL-FUND-HEDGES.XML



COPPER CLIPS OSPRAIE FUND

By RODDY BOYD

A hedge fund highflier has been brought to ground by a bet gone bad in copper.

http://www.nypost.com/business/67152.htm



Professor Philippe Jorion Joins PAAMCO

Pacific Alternative Asset Management Company , a US$7.4 billion fund of hedge funds company, today announced that Professor Philippe Jorion has joined the firm as a Director in the Risk Management Group.

http://biz.yahoo.com/prnews/060607/nyw100.html?.v=58



Reports



Bond Talk Today's Events

http://www.bondtalk.com/global.cfm?S=todaysevents



USDA Today

http://www.usda.gov/nass/PUBS/TODAYRPT/TODAY.HTM



Miscellaneous News



Morgan Lures Back a Defector of Rank

Morgan Stanley said yesterday that it had secured the return of a senior investment banker, a small coup for a firm that has worked hard to replenish its pool of top investment banking talent.

That the banker, Jon A. Anda, has been lured back from the nascent investment boutique of Joseph R. Perella, the former Morgan Stanley deal maker, is of additional satisfaction to Morgan Stanley's chief executive, John J. Mack.

http://www.nytimes.com/2006/06/08/business/08walls.html?_r=1&oref=slogin



Jon Anda Returns to Morgan Stanley

http://www.morganstanley.com/cgi-bin/morganstanley.com/pressroom.cgi?action=load&uid=497



FFastFill signs another new global financial institution for its application service

http://www.ffastfill.com/content/ir/rns2006/rns-07june2006-FFASTFILL_SIGNS_NEW_APPLICATION_SERVICE.htm



Bawag opens books ahead of sale

A sale of Bawag should get under way shortly as the embattled Austrian bank prepares to open its "data room" to prospective buyers. Ewald Nowotny, Bawag's chief executive, on Tuesday said final preparations were under way to make essential financial information available to interested parties in the sale process, being hand-led by Morgan Stanley.

http://msnbc.msn.com/id/13171081/



US brokers launch electronic credit derivatives

By Gillian Tett in London and Richard Beales In New York

A major new global attempt to combat the danger that trading mistakes could disrupt the derivatives market will be launched on Thursday by the dominant US clearing system and inter-dealer brokers.

The move would introduce electronic trading and processing into a large part of the global credit derivatives world. It is spearheaded by the Depository Trust & Clearing Commission, a quasi-utility that settles US securities trades, and GFI, Icap and Tullett Prebon, the three largest global inter-dealer brokers.

http://news.ft.com/cms/s/c8590454-f64e-11da-b09f-0000779e2340.html



NSSC issues requirements for registrants engaging in business outside of sponsoring firm

http://www.investmentexecutive.com/client/en/News/DetailNews.asp?id=34279&IdSection=8&cat=8&BImageCI=1



Uncle Sam Plays Commodity Push-Pull

By Liz Rappaport

The Federal Reserve has had its eye on commodities prices for some time now, but the concern ratcheted up Wednesday as Atlanta Fed President Jack Guynn and former Fed Chairman Alan Greenspan each warned that the volatile markets could threaten economic stability. Their comments contributed to weakness in commodities and related stocks, the latter helping pull major averages into negative territory.

http://www.thestreet.com/_googlen/markets/marketfeatures/10290437.html?cm_ven=GOOGLEN&cm_cat=FREE&cm_ite=NA



Eze Castle Software Completes Electronic Trading Integration with Trading Technologies

Trading Technologies International, Inc. (TT) and Eze Castle(R) Software, Inc. announced today that they have completed their integration project. Eze Castle Software, a leading provider of technology solutions to multi-strategy, global investment managers, has integrated its Traders Console(R) order management system (OMS) with Trading Technologies' X_TRADER so mutual clients can trade global

http://biz.yahoo.com/prnews/060607/cgw049.html?.v=53



Retrial of Deutsche Bank CEO Scheduled

Deutsche Bank AG's chief executive and five co-defendants will be retried starting in October over payments made to executives in a 2000 takeover battle, a court said Thursday.

http://biz.yahoo.com/ap/060608/germany_merger_trial.html?.v=1



TD Ameritrade Client Trades Up in May

Online brokerage company TD Ameritrade Holding Corp. on Thursday said it handled an average of 280,000 client trades a day in May.

http://biz.yahoo.com/ap/060608/td_ameritrade_metrics.html?.v=1



News from under the bus II

Ambulance attacked en route to SPhinX wreck

Another battle in the age-old war between law and justice will be fought in US Bankruptcy Court in New York tomorrow, when investors in various SPhinX funds – and especially the managed futures variants – attempt to delay, if not derail, an agreement that will lift some $263 million from their collective pockets and forfeit all but a tiny proportion of their claims against the Refco estate. Led by a coalition of the allegedly

http://nakedshorts.typepad.com/nakedshorts/2006/06/news_from_under.html#more



Breaking News - Judge drops bus on SPhinX investors

NEW YORK: Judge Robert Drain early this afternoon approved the settlement that will see the SPhinX Managed Futures Fund SPC turn over $263 million to Refco's Official Committee of Creditors, and abandon their rights to pursue recovery under the Refco bankruptcy case. And in a related decision, he also denied an attempt by the SPhinX fund investors to compel testimony and other discovery concerning the settlement, saying that the SPhinX investors had no standing to pursue their objections in US Bankruptcy Court.

Law 2, Justice 0. Further coverage to come.

http://nakedshorts.typepad.com/nakedshorts/2006/06/judge_drops_bus.html



Observations – Statistics - Commentary



Catholic Charities Visits CBOT to Hold Fund Raiser and Raffle June 9



On Friday, June 9, 2006, representatives from Catholic Charities will visit the Chicago Board of Trade to raise funds for the Fifth Annual William E. Joyce Golf International event benefiting the Catholic Charities Loving Outreach to Survivors of Suicide (LOSS) Program. The golf outing will take place at the Crystal Tree Golf and Country Club on Monday, August 7, 2006. For more information, please contact Mike Manning at 312-559-8886 or see Catholic Charities representatives in the Exchange Lobby.



Catholic Charities fulfills the Church's role in the mission of charity to anyone in need by providing compassionate, competent and professional services that strengthen and support individuals, families and communities based on the value and dignity of human life.



++++++



Chicago lawyer fought political corruption

BY DAVID ROEDER Staff Reporter

In the 1979 book Who Runs Chicago?, the authors described Robert W. Bergstrom as a "gaunt Norseman with piercing gray eyes" and as "one of the Democratic machine's least favorite lawyers."

http://www.suntimes.com/output/obituaries/cst-nws-xberg08.html



**** David Roeder of the Suntimes wrote an obituary for my father-in-law, which appears in today’s Chicago Suntimes. Thank you David.



++++++



NYMEX-ICE Energy Futures Scorecard





ICE WTI Crude
151,646

NYMEX WTI Crude
309,693

Percent ICE of total
32.87%




NYMEX Mini Gasoline
100

NYMEX Mini Heating Oil
3,363

NYMEX Mini Light Crude Oil
53,421

NYMEX Mini Natural Gas
19,578

NYMEX Mini Complex
76,462




ICE Brent Volume
218,767




****





Chicago Electronic Trading Scorecard for Previous Trading Day




Percent Electronic





CBOT:
61.78%

CME (excluding TRAKRS):
69.36%

CME Eurodollar Futures:
82.35%

CME Eurodollar Options
7.01%

CME Live Cattle Futures:
0.29%

CME Currency Products:
84.70%

CBOT Soybeans Futures:
1.52%




CBOT Options:
16.75%

CME Options:
9.32%




Volume





OneChicago Volume:
43,939

Eurex US Volume:
9,171

CBOE Futures Exchange Volume:
1,075




Market Share





CBOT 100 oz. Gold Futures Volume:
32,906

NYMEX 100 oz. Gold Futures Volume:
55,464

CBOT Share:
37.24%




CBOT 5000 oz. Silver Futures Volume:
4,773

NYMEX Silver Futures Volume:
25,980

CBOT Share:
15.52%




CBOT Mini Gold Volume:
12,335

CBOT Mini Silver Volume:
3,265

CBOT 100 oz. Gold Options:
1,631

CBOT Metals Complex:
54,910

CBOT 100 Oz. Gold Open Interest:
6.16%

CBOT 100 Oz. Gold Give Up %:
10.28%




Notes: At the CME, Eurodollar options and S&P 500 options set open interest records yesterday. At Eurex US, a block trade(s) in Ten Year Notes of 8600 contracts dropped total exchange open interest below the 10,000 contract level for the first time during Eurex US’s downward spiral and exchange wide open interest now stands at 2491 contracts.



Regards,



John J. Lothian

Publisher

John Lothian Newsletter

www.johnlothiannewsletter.com




Futures Brokerage - Business Intelligence




John J. Lothian
President- Electronic Trading Division
The Price Futures Group, Inc.
141 West Jackson Blvd., Suite 1340A
Chicago, IL 60604

jlothian@pricegroup.com
johnlothian@johnlothian.com
IM: LothianJohnJ
http://www.pricegroupetd.com
tel:
tel2:
fax:
mobile:
+1 312-264-4350
+1 800-713-0215
+1 312-264-4399
+1 312-203-5515










Add me to your address book...
Want a signature like this?








Disclaimer: The John Lothian Newsletter and Environmental Markets newsletter are products of John J. Lothian & Company, Inc. The opinions expressed in the John Lothian Newsletter and Environmental Markets are strictly the opinions of John J. Lothian & Company, Inc., and not necessarily those of Mr. Lothian’s employer, The Price Group and its management, and is intended solely for informative purposes and is not to be construed, under any circumstances, by implication or otherwise, as an offer to sell or a solicitation to buy or trade in any commodities or securities herein named. Information is obtained from sources believed to be reliable, but is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. Security futures are not suitable for all customers.



Futures and options trading involve risk. Past results are no indication of future performance.



This is an opt-in newsletter. If you wish to unsubscribe, please check the address of list you are receiving the newsletter from and then click on the appropriate link below.



mailto:johnlothiannewsletter-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter1-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter2-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter3-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter4-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter5-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:jimkharouf-request@johnlothiannewsletter.com?subject=unsubscribe



If the unsubscribe links above do not work for you, please send an

June 7, 2006



Edited by Jim Kharouf (jkharouf@sbcglobal.net)



US/Canada News



Talk swirls over Great Lakes windmills

TODD RICHMOND - Associated Press

ALGOMA, Wis. - A little red lighthouse. Boardwalks. The blue-green waters of Lake Michigan stretching to the horizon. It's just another pretty-as-a-postcard view on the shores of this sleepy town of 5,700 a half-hour east of Green Bay. But how long the unspoiled vista in Algoma and in other communities along the Great Lakes will last is anybody's guess.

http://news.yahoo.com/s/ap/20060606/ap_on_re_us/great_lakes_windmills_2



Group pushes tougher state rules for mercury emissions

David Templeton - Pittsburgh Post-Gazette

Noting that "babies are at the greatest risk," a group of 44 medical, public health and environmental officials statewide is pushing the state Legislature to adopt stricter standards for mercury emissions from coal-fired power plants.

http://www.post-gazette.com/pg/06158/696277-85.stm



State targets power-plant pollution

DNREC proposal stricter than federal government's

By JEFF MONTGOMERY - The News Journal

Delaware's largest power plants may have to spend as much as $750 million to curb smog, soot and mercury emissions under a newly announced proposal that state officials said Tuesday will save lives and improve public health.

http://www.delawareonline.com/apps/pbcs.dll/article?AID=/20060607/NEWS/606070366/1006/RSS

JK**** Here's an argument against emissions credit trading



An even grayer Seattle from global warming?

Sandi Doughton - Seattle Times

For those harboring the guilty hope that global warming will transform Seattle into a sun lovers' paradise on par with the Côte d'Azur, meteorologist Cliff Mass has some bad news: It might actually get cloudier.

http://archives.seattletimes.nwsource.com/cgi-bin/texis.cgi/web/vortex/display?slug=futureweather05m&date=20060605&query=Grayer+seattle



Study: Global Warming Threatens Florida

A study of nine Florida coastal areas suggests many bays and estuaries will be inundated by 2100 due to sea-level rise from global warming.

The survey, commission by the Florida Wildlife and National Wildlife federations, projects if global warming continues, a resulting sea-level rise would dramatically alter the extent and composition of important coastal habitats and fishing, as we know it, could disappear in a matter of decades.

http://www.upi.com/NewsTrack/view.php?StoryID=20060606-053907-5281r



Hunters and Fishermen Want Action on Global Warming

LiveScience Staff

In what might signal a turning point in environmental sentiment in America, a new poll of hunters and fishermen finds the majority think the country is on the wrong track with its energy policy and should be a leader in combating global warming.

http://www.livescience.com/environment/060607_hunter_poll.html



Hydrogen & Fuel Cell Summit Keynote by Warren Leon, Director, Renewable Energy Trust, Massachusetts Technology Collaborative

Keynote by Warren Leon, Director, Renewable Energy Trust, Massachusetts Technology Collaborative

http://www.theautochannel.com/news/2006/06/06/010234.html





European News



Where there is carbon emissions muck, there's brass

DAVID URCH

THE need to cut carbon dioxide emissions around the globe is creating a new opportunity for investors. Countries across the EU have already embarked on a scheme to deliver emissions reductions in the most cost-effective way, by creating an emissions trading scheme.

http://business.scotsman.com/index.cfm?id=822892006



Carbon price too short-term to matter, study says

Business do not view carbon prices as long-term enough to influence strategic decisions like investments into new technology, a recently published survey of 14 companies said.

http://www.pointcarbon.com/Home/News/All%20news/Corporate/article15926-474.html

(Subcription required)



Iberdrola to Keep Exceeding CO2 Emissions Quota

Reuters

Spain's second-biggest utility, Iberdrola, will keep exceeding its carbon dioxide (CO2) emissions target in 2008-2012 and buy permits for the excess under the EU carbon trading scheme, a senior executive said on Tuesday.

http://www.planetark.org/dailynewsstory.cfm/newsid/36668/story.htm



HSBC goes green and offers staff bonus bins

Here's a caring, sharing announcement from HSBC. For World Environmental Day, the bank is removing 6,000 waste bins from its Canary Wharf HQ.

Instead, staffers will have to separate junk mail and used tea bags into colour-coded communal bins: green for recyclable dry waste and red for wet.

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2006/06/07/ccdiary07.xml



Avoiding Dangerous Climate Change

Harrison, Nick

Climate change is fast becoming the most prominent concern facing international leaders and nations. At the start of 2006 the British Prime Minister, Tony Blair again warned that the impact of climate change may be more serious than previously considered.

Repeating the message delivered through a recently published book based on evidence presented by scientists at the 'Avoiding Dangerous Climate Change' conference hosted by the UK Meteorological Office last February Mr Blair commented that "It is clear from the work presented that the risks of climate change may well be greater than we thought,"

http://www.redorbit.com/news/science/530259/avoiding_dangerous_climate_change/index.html?source=r_science



EU report calls for urgent action to promote energy competition

Power Engineering International

A high level EU report calling for faster power and gas unbundling and the removal of regulated tariffs that it claims are distorting the market, was published last Friday.

http://pepei.pennnet.com/Articles/Article_Display.cfm?ARTICLE_ID=257041&p=6



PM praises business pledge on CO2

BBC

Calls from the group - which included Shell, Tesco and Vodafone executives - for more curbs on carbon dioxide emissions were hailed by Tony Blair.

http://news.bbc.co.uk/1/hi/uk/5050774.stm



Asia news



FEATURE-Targeting air pollution, poor nations aid climate

Alister Doyle - Reuters

China's car efficiency standards are tougher than those of many industrial states -- a somewhat surprising fact that reveals how efforts by developing nations to limit pollution may also help brake gobal warming.

http://www.alertnet.org/thenews/newsdesk/L26374378.htm



US Envoy Urges HK Businesses to Lead on Pollution

Reuters

HONG KONG - The US envoy to Hong Kong pressed businesses on Tuesday to take urgent action against a worsening air pollution "crisis" in the territory and not wait for governments to come up with a solution.

http://www.planetark.org/dailynewsstory.cfm/newsid/36669/story.htm

JK**** The Chinese must have bit hard to listen to this. Here's the deal - in order to dole out advice, you have to be a leader by example.



Australia to Examine Nuclear Power Industry

Reuters

CANBERRA - Australia is to study whether to set up a nuclear power and enrichment industry, Prime Minister John Howard said on Tuesday, angering environmentalists who want the country to maintain its nuclear-free stance.

http://www.planetark.org/dailynewsstory.cfm/newsid/36671/story.htm



Dam and Blast as Three Gorges Flood Control Starts

Reuters

BEIJING - China blew up the last temporary wall protecting the Three Gorges Dam on Tuesday, using enough explosives to bring down 400 10-storey buildings, state media reported.

http://www.planetark.org/dailynewsstory.cfm/newsid/36672/story.htm



Bank of China International Investment Managers Launches First SRI Fund in China

Bill Baue

The fund combines quantitative screening with qualitative assessment on issues such as corporate governance and social responsibility, but it is unclear how it will handle human rights.

http://www.socialfunds.com/news/article.cgi/2026.html



Other



FEATURE - Indy 500 Seen Helping US Get on Ethanol Bandgwagon

DALLAS - Last month's Indianapolis 500 auto race, which required drivers to use ethanol fuel for the first time in the event's 95-year history, gave a glimpse of what's in store for the future of US energy, a USDA official said this week.

"The Indy 500 this year ran on a 10 percent blend of ethanol, and they're converting to 100 percent ethanol next year," said Thomas Dorr, undersecretary of rural development at the US Agriculture Department. "Ultimately, this is going to brand ethanol as a premium fuel."

http://www.planetark.org/dailynewsstory.cfm/newsid/36673/story.htm



JK**** Just curious, what's the mileage on an Indy car?



Warming set to 'devastate' coral

By Paul Rincon - BBC News

Rising ocean temperatures look set to cause lasting devastation to coral reef systems, a study suggests.

An international team of researchers looked at reefs in the Seychelles, where an ocean warming event in 1998 killed much of the live coral.

http://news.bbc.co.uk/1/hi/sci/tech/4772715.stm

JK**** This also is pointed out in Al Gore's movie Inconvenient Truth





Events/Reports



Environmental Trading Congress
Strategies for Succeeding in the Environmental Financial Markets
July 24th - 25th, 2006, New York Helmsley, NYC

http://www.frallc.com/conference.aspx?ccode=b371



How Changes in the Arctic are Affecting the Rest of the World

Thursday, June 15, 2006

8:00 a.m. - 1:00 p.m.

Venue: United States Senate

http://www.eesi.org/briefings/2006/Energy&Climate/6.15.06_ClimateSymposium/6.15.06ClimateSymposium.htm



9th Annual Renewable Energy and Energy Efficiency Expo and Forum

Tuesday, June 20, 2006

9:00 am – 5:00 pm , 345 Cannon House Office Building (Caucus Room)

http://www.eesi.org/briefings/2006/NonEESIEvents/5.20.06SECExpo.htm



General Electric

www.ge.com/ecoreport





Chicago Climate Exchange



Chicago Climate Futures Exchange SO2 Allowance

Cash and Futures Market Prices Survey Report

Wednesday, June 7, 2006-9:30 a.m. Central Time Report



SO2 Allowance Cash Market Survey

Vintage Bid Offer Last

2006 (or earlier) $575 $595 $582.50 (June 6)

2007 $570 $590



Cash Market Price Survey Overview

The SO2 cash market price information provided above reflects central values
of price ranges gathered from randomly selected market participants from energy,
brokerage and financial firms. The 9:30 a.m. Central Time report is based on information
gathered between 9:10 and 9:25 a.m. Central Time. The 11:45 a.m. Central Time report is based
on information gathered between 11:25 and 11:40 a.m. Central Time.



CCFE SO2 Futures Market Prices

June 6, 2006 Settlement Price

Contract Price

June 2006 $585

July 2006 $587

Aug 2006 $590



CCFE SO2 futures contracts require sellers to deliver current or earlier vintage (see CCFE Member Advisory 2005-11 for details).



Disclaimer

Cash market information provided herein is a summary of quotes provided to CCFE
by market participants. The information does not represent a recommendation, trading
advice or prediction of market conditions CCFE takes no responsibility for any decisions

made on the basis of this information.






June 7, 2006



Lead Stories



Dubai to launch first Mideast FX futures June 12

DUBAI, June 7 (Reuters) - Dubai will launch the Middle East's first currency futures on June 12 to tap growing demand for currency hedging in the region's trading hub, the chief executive of the emirate's futures exchange said on Wednesday.

http://asia.news.yahoo.com/060607/3/2ll7p.html



Dubai Mercantile Exchange And american University In Dubai Join For Commodity Trading

Dubai, UAE - The Dubai Mercantile Exchange Limited (DME) and the American University in Dubai (AUD) announced the signing of a Memorandum of Understanding between the two parties for the joint development of an academy for the new Exchange.

http://www.oilandgasonline.com/content/news/article.asp?docid=6b97ca9a-8055-4632-8765-dee4e2d04943&atc~c=771+s=773+r=001+l=a&VNETCOOKIE=NO



DGCX to start currency trade

The Dubai Gold and Commodities Exchange will start trading currency futures contracts on 12 June. It will open up with euro-dollar, yen-dollar and sterling-dollar contracts. Trading in other currencies will be added later.

http://www.ameinfo.com/88179.html



NYSE Shares Fall on Deal Resistance

NYSE Group Inc. shares fell Tuesday after resistance continued to build against its proposed trans-Atlantic acquisition of Euronext NV, including comments from French President Jacques Chirac that he favored a merger that would instead create a pan-European exchange.

http://biz.yahoo.com/ap/060606/nyse_mover.html?.v=2



**** Mr. Chirac, the NYSE-Euronext deal is good for the people of France and good for Europe.



Chirac wades into the battle for Euronext

By Martin Arnold in Paris, Norma Cohen in London and Richard Milne in Frankfurt

Jacques Chirac waded into the battle for Euronext on Tuesday by saying a "Franco-German solution" with Deutsche Börse would be better than the recently agreed merger between the Paris-based stock exchange operator and the New York Stock Exchange. The French president's comments come amid growing anxiety about the $10bn takeover among Euronext's large shareholders and users in Paris, and could encourage Deutsche Börse, the NYSE's German rival, to counter-bid. Some Euronext shareholders have already criticised the "sudden rush" to cement the deal with NYSE.

https://registration.ft.com/registration/barrier?referer=http://news.ft.com/home/us&location=http%3A//news.ft.com/cms/s/376eca5a-f586-11da-bcae-0000779e2340.html



Chirac Lukewarm on NYSE Group's Deal for Euronext

By JAMES KANTER

The struggle for control over stock exchanges took a political turn as President Jacques Chirac of France said that he preferred an all-European deal.

http://www.nytimes.com/2006/06/07/business/worldbusiness/07exchange.html



Chirac Frowns on NYSE-Euronext

Deutsche Börse Takes Heart From French Leader's Call For Franco-German Alliance

By ALISTAIR MACDONALD in London and EDWARD TAYLOR in Frankfurt

French President Jacques Chirac said he would rather see financial-exchange operator Euronext NV merge with Deutsche Börse AG than with NYSE Group Inc., giving some heart to the German exchange operator as it seeks to win Euronext despite last week's merger agreement between the European and U.S. exchanges. Buoyed by Mr. Chirac's remarks, Deutsche Börse Chief Executive Reto Francioni and Chairman Kurt Viermetz are on a lobbying trip to Paris today to sound out ways Deutsche Börse can make its offer "more attractive" to shareholders without making significant changes from what has been offered up until now, a person familiar with the matter said.

http://online.wsj.com/article/SB114964339840973336.html?mod=home_whats_news_us



French president opposes NYSE-Euronext deal

Jacques Chirac says he would prefer to see Euronext merge with German rival Deutsche Boerse.

http://money.cnn.com/rssclick/2006/06/07/news/international/chirac_euronext.reut/index.htm?section=money_latest



Chirac May Put Thain's Merger On Ice

French president throws his weight behind Euronext-Deutsche Boerse tie-up.

http://www.forbes.com/facesscan/2006/06/06/thain-nyse-euronext-cx_em_0606autofacescan09.html?partner=rss



Deutsche Boerse to admit foreign companies to blue-chip DAX index

German stock market operator Deutsche Boerse has said that it would admit foreign companies into its blue-chip DAX 30 index in order to reflect the growing internationalisation of the markets and boost the attractiveness of the DAX.

http://news.yahoo.com/s/afp/20060607/bs_afp/germanystocksbusinesscompanyboerseindexdax_060607115208



NYSE backs 'broker vote' reforms

By Jeremy Grant in Washington

The New York Stock Exchange yesterday endorsed the removal of a rule that allows brokers to use the votes of shares belonging to investors who do not give specific instructions. The practice of allowing the so-called "broker vote" in proxy voting procedures has been in place since the 1930s. But it has come under fire from corporate governance critics, who say it gives brokers and banks too much influence in elections to company boards.

http://news.ft.com/cms/s/aa159792-f5c1-11da-bcae-0000779e2340.html



Goldman, Citi to be CBOT swap futures mkt makers

CHICAGO, June 6 (Reuters) - Goldman Sachs & Co. (GS.N: Quote, Profile, Research) and Citigroup Inc. (C.N: Quote, Profile, Research) will become electronic market makers for Chicago Board of Trade's (BOT.N: Quote, Profile, Research) struggling interest rate swap futures contracts, the exchange said on Tuesday. The two giant investment banks will provide liquidity to participants in five-year and 10-year swap futures at the No. 2 U.S. futures exchange starting in July.

"Both firms will take a leading role in the convergence of cash securities, over-the-counter derivatives and now the listed futures markets," said Robert Ray, CBOT's senior vice president of business development.

http://today.reuters.com/stocks/QuoteCompanyNewsArticle.aspx?view=CN&storyID=2006-06-06T203409Z_01_N06428977_RTRIDST_0_FINANCIAL-CBOT-SWAPS.XML&rpc=66



Goldman, Citigroup to Make Markets on CBOT

By Lauren Rae Silva

The Chicago Board of Trade (BOT:NYSE - commentary - research - Cramer's Take) said Goldman Sachs and Citigroup agreed to become makers in the exchange's five- and 10-year interest rate swap futures contracts. The two firms will join the existing electronic market maker, which the CBOT declined to name, to provide liquidity for trades on the exchange.

http://www.thestreet.com/_googlen/stocks/brokerages/10290085.html?cm_ven=GOOGLEN&cm_cat=FREE&cm_ite=NA



`Margin-trading did not cause the crisis'

Interview with L.C. Gupta, director, Society for Capital Market Research and Development, New Delhi.

http://www.hinduonnet.com/fline/stories/20060616003701800.htm



S.E.C. May Act on Options

Christopher Cox, chairman of the Securities and Exchange Commission, said the growing number of companies under investigation for possible manipulation of stock option grants was "of serious concern" to the agency.

http://www.nytimes.com/2006/06/07/business/07options.html?_r=1&oref=slogin



Backdated stock options grow to `serious concern,' SEC says

Securities and Exchange Commission Chairman Christopher Cox said Tuesday that the growing number of companies under investigation for possible manipulation of stock-option grants is "of serious concern" to the agency.

http://www.chicagotribune.com/business/chi-0606070231jun07,1,7014351.story?track=rss



CHX delays annual meeting as it mulls outside investment

(Crain’s) — The Chicago Stock Exchange’s parent company delayed its annual meeting while it continues to mull deals with outside investors. The exchange postponed its meeting of shareholders “due to the need to continue consideration of strategic alternatives,” according to a notice to stockholders posted on the exchange’s Web site. The meeting of CHX Holdings Inc. was scheduled for June 12. The exchange now aims to hold a meeting in late June or early July, and will set a date as soon as possible, according to the statement. Through a spokesman, exchange CEO David Herron declined to comment.

http://www.chicagobusiness.com/cgi-bin/news.pl?id=20880



Q&A with Salvatore Sodano

BY JAMES BERNSTEIN

Salvatore F. Sodano, a former president of the American Stock Exchange, was appointed dean of the Frank G. Zarb School of Business at Hofstra last week. Sodano, 50, has never been a full-time academic, although he has taught business courses at Hofstra and was chairman of the university's board of trustees. He also earned both his bachelor's and masters' degrees from Hofstra. Sodano was chief executive officer of the National Association of Securities Dealers, which owns the technology-heavy Nasdaq stock market and also held executive positions at Westpac Banking Corp., Bankers Trust Co. and Morgan Guaranty International Finance Corp. He spoke today with Newsday about his career, the business world, and business on Long Island.

http://www.newsday.com/business/ny-bzsoda0607,0,2929331.story?coll=ny-business-leadheadlines



The Tokyo Grain Exchange And Zhengzhou Commodity Exchange Sign MOU

http://www.exchange-handbook.co.uk/news_story.cfm?id=59766



Environmental Trading News



Ethanol FAQ

A List of commonly asked questions about the new CBOT Ethanol futures contract.

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1027+27032,00.html



EEX Trading Results And New Admissions In May - Record Volume On The Derivatives Market For Power

http://www.exchange-handbook.co.uk/news_story.cfm?id=59759



For more environmental trading news, subscribe to the Environmental Markets version of the John Lothian Newsletter edited by Jim Kharouf.

Click here to subscribe: jimkharouf-request@johnlothiannewsletter.com?subject=subscribe



Exchange & ECN News



CME Client Management Training Services - Training Course Update for June 2006

http://www.cme.com/clearing/cm/adv/18816.html



NYMEX and Multi Commodity Exchange of India Sign Licensing Agreement

http://www.nymex.com/press_releas.aspx?id=pr20060606a



Outright (Scan) Margin Rates Change for Financially Settled Electricity Contracts

http://www.nymex.com/notice_to_member.aspx?id=ntm299&archive=2006



Updated List of All NYMEX Division Inter-Commodity Spread Credits

http://www.nymex.com/notice_to_member.aspx?id=ntm298&archive=2006



Margin Rate and Tier Changes for NYMEX ClearPort® Petroleum Product and Spread Futures Contracts

http://www.nymex.com/notice_to_member.aspx?id=ntm297&archive=2006



Dow Jones STOXX® 600 Index: Introduction of Sixth Tranche of Single Stock Futures on the Components

http://www.eurexchange.com/products/news_EQU/productNews_2006_06_06_559.html



NYSE Group, Inc. to Present at Sandler O’Neill Financial Services Conference

http://www.nyse.com/press/1149588682226.html



CBOE and CFE Trading Schedule for Independence Day Holiday

http://www.cboe.com/AboutCBOE/ShowDocument.aspx?DIR=ACNews&FILE=20060606.doc



Monthly Trading Volume & Value

http://www.tse.or.jp/english/data/v_and_v/index.html



MexDer and Asigna reduce trading and clearing fees on the TIIE Futures Contract

In recognition of the rising volume traded recently, and in order to enhance the competitiveness of the Mexican Derivatives Market, MexDer and Asigna have decided to reduce trading and clearing fees of futures contracts on the 28-day TIIE (Interbank Interest Rate). TIIE Futures Contract is the most representative and liquid contract listed in the Mexican Derivatives Exchange. It represents more than 90% of the volume traded in MexDer. This modification takes effect on June 1 of this year

http://www.mexder.com/MEX/Tarifas_Mexder.html



PHLX to Begin Trading One New Option on Wednesday, June 7

http://www.phlx.com/news/pr2006/06pr060606.htm



Amex to Trade Options on Six New Securities

http://www.amex.com/atamex/news/press/sn_6opt_060606.htm



WCE Revises Western Barley Contract

http://www.wce.ca/NewsNotices.aspx?first=newsreleases&Id=202



Deutsche Börse Broadens DAX Admission Criteria

New rules take effect from October 2006/ Amended 10 percent cap limit to be introduced from September chaining day

http://deutsche-boerse.com/dbag/dispatch/en/listcontent/gdb_navigation/press/10_Latest_Press_Releases/Content_Files/13_press/June_2006/pm_news_060606_index2.htm



Deutsche Börse Decides on Changes to Equity Indices

Changes in MDAX®, SDAX® and TecDAX® are effective on 19 June

http://deutsche-boerse.com/dbag/dispatch/en/listcontent/gdb_navigation/press/10_Latest_Press_Releases/Content_Files/13_press/June_2006/pm_news_060606_indizes.htm



SGX AMENDS LISTING RULES TO ENHANCE STANDARDS OF GOVERNANCE AND LISTINGS

http://info.sgx.com/webnewscentre.nsf/bcb6f015b16e5258482569a7001af139/48256838002f07b14825718600371eb7?OpenDocument



NZX Chief Executive Mark Weldon Discusses Record Trading In May

http://www.exchange-handbook.co.uk/news_story.cfm?id=59765



Italian stock exchange appoints Chiomenti for Euronext merger

Italian stock exchange Borsa Italiana has appointed Chiomenti Studio Legale as its sole legal advisor for talks with Euronext bosses about a possible merger.

http://www.thelawyer.com/cgi-bin/item.cgi?id=120249&d=122&h=24&f=46



Regulatory News



The SEC News Digest

The SEC News Digest provides daily information on recent Commission actions, including enforcement proceedings, rule filings, policy statements, and upcoming Commission meetings.

http://www.sec.gov/news/digest/2006/dig060606.txt



Susan Ferris Wyderko, Director of the Office of Investor Education and Assistance, to Leave Commission

http://www.sec.gov/news/press/2006/2006-88.htm



Mario Gabelli reached a deal with the Justice Department in a fraud suit that alleged the money manager deceived the FCC in auctions of cellphone licenses

http://online.wsj.com/article/SB114962526412072983.html?mod=home_whats_news_us



Put CEOs' pay in escrow, former SEC head urges

TORONTO — Companies should set aside the majority of their chief executive officers' pay in escrow accounts, awarding it only years down the road if there have been no corporate scandals, former SEC chairman Harvey Pitt says.

http://www.globeinvestor.com/servlet/story/RTGAM.20060607.wxrpitt07/GIStory/



SEC sues hedge fund manager after finding problems

U.S. financial regulators on Tuesday sued a hedge fund manager for allegedly siphoning off $11.5 million of his clients' money and sending out fake statements showing that investors earned double-digit returns.

http://news.yahoo.com/s/nm/20060606/bs_nm/financial_fund_sec_dc_1



FSA Survey Reveals Older Experienced Investors Targeted By Boiler Rooms,

A survey published by the UK's Financial Services Authority on Tuesday has found that investors who fall victim to boiler room scams by purchasing virtually worthless shares lose an average of GBP20,000.

http://www.investorsoffshore.com/asp/story/storyinv.asp?storyname=23848



For SEC chairman, advice on fund disclosure

When Christopher Cox got in front of the Senate Banking Committee earlier this spring and said improving mutual fund disclosure is the "central focus" of the Securities and Exchange Commission, there was a scary and disappointing sense of déjà vu.

http://www.nj.com/columns/ledger/jaffe/index.ssf?/base/columns-0/114965980094750.xml&coll=1



SEC moves on 'Ponzi scheme': Wakefield hedge-fund chief's assets frozen

Federal regulators yesterday moved to freeze the assets of a Wakefield hedge-fund manager who allegedly engaged in a Ponzi-like scheme that included diverting $11.5 million in client funds to a firm...

http://business.bostonherald.com/businessNews/view.bg?articleid=142460



NASD Decision Shows How Not to Buy Municipal Bonds: Joe Mysak

June 7 (Bloomberg) -- Here's how not to buy municipal bonds. First, don't do any research about the asset class you're getting into. All municipal bonds are the same, aren't they?

http://quote.bloomberg.com/apps/news?pid=10000039&refer=columnist_mysak&sid=ayDznLnZrkIw



SEC says adviser ran Ponzi scheme

A US District Court judge in Boston yesterday froze the assets of a Wakefield investment adviser after the Securities and Exchange Commission filed a complaint claiming he defrauded investors who had given him at least $15 million.

http://www.boston.com/business/articles/2006/06/07/sec_says_adviser_ran_ponzi_scheme



Investments - Indexes - Managed Futures - Managed Funds



Natural gas is better investment than oil, says Jim Rogers

LONDON: Natural gas is a better investment than oil because emissions concerns will give a market advantage to cleaner burning fuels, US commodity investment guru Jim Rogers said yesterday. “Gas in my view has a better future than oil,” Rogers told an investor conference in London.

http://www.gulf-times.com/site/topics/article.asp?cu_no=2&item_no=90564&version=1&template_id=48&parent_id=28



Top Hedge Fund Opens Investor Door To Solidify Bet on Auto-Parts Makers

By IANTHE JEANNE DUGAN

Bucking a trend, one of the country's most successful money managers is considering letting new investors into his elite hedge fund to strengthen its hand in a high-stakes bet on two auto-parts makers under bankruptcy-court protection.

In a letter to investors late last week, David Tepper's Appaloosa Management said it was aiming to raise as much as $1.8 billion to "enhance and protect our current positions, including Delphi Corp. and Dana Corp." The fund plans to tap existing investors first and open the door to outsiders if necessary.

http://online.wsj.com/article/SB114964870526973444.html?mod=hps_us_my_topics



Dow Jones Indexes To Launch Blue-Chip Index For Brazil, Russia, India And China

http://www.exchange-handbook.co.uk/news_story.cfm?id=59767



Dow Jones Indexes Announces Changes In The Dow Jones Global Titans 50, Dow Jones Asian Titans 50, Dow Jones Tiger Titans 50, And Dow Jones Sector Titans 30 Indexes

http://www.exchange-handbook.co.uk/news_story.cfm?id=59763



Standard & Poor's Reports May Index Returns-Revised

http://www.exchange-handbook.co.uk/news_story.cfm?id=59753



Broad retreat across commodities

Commodity markets continued to retreat on Wednesday with oil easing back ahead of the latest US inventories data and metals prices moved lower amid concerns about the effects of further increases in interest rates on growth.

http://news.yahoo.com/s/ft/20060607/bs_ft/fto060720060732421997



Nuveen Investments Expands Mutual Fund Offerings

CHICAGO----June 6, 2006--Nuveen Investments, a leading provider of diversified investment services, today announced the availability of three new mutual funds featuring the expertise of its taxable fixed income investment team.

http://biz.yahoo.com/bw/060606/20060606005711.html?.v=1



Reports



Bond Talk Today's Events

http://www.bondtalk.com/global.cfm?S=todaysevents



USDA Today

http://www.usda.gov/nass/PUBS/TODAYRPT/TODAY.HTM



Miscellaneous News



George S. Hender Named Financial Services Sector Coordinator for Critical Infrastructure Protection and Homeland Security

Treasury Secretary John W. Snow has named George S. Hender, Management Vice Chairman of The Options Clearing Corporation, as the new Sector Coordinator in the ongoing effort to protect the nation's critical financial infrastructure. Hender will play a key role in ensuring the private sector and the government continue to work together to enhance the resilience of the U.S. financial system.

http://www.optionsclearing.com/press/rel_2006/press_rel_6_6.jsp



Morgan Stanley Schedules Quarterly Investor Conference Call

http://www.morganstanley.com/cgi-bin/morganstanley.com/pressroom.cgi?action=load&uid=496



Lawyer to Join Goldman

The Goldman Sachs Group has added James H. M. Sprayregen, head of the bankruptcy practice at the Chicago law firm Kirkland & Ellis, to its team that advises companies in financial trouble. Mr. Sprayregen, 46, will become a managing director in Goldman's investment banking division in July, Kirkland said yesterday.

http://www.nytimes.com/2006/06/07/business/07law.html



Dangers help the Street, unless they do it harm

by Bill Barnhart, bbarnhart@tribune.com

Wall Street behaves like a snake charmer, gesturing ever closer to the cobra's fangs, hoping to excite the crowd but not get bit. After more than two years of dull markets, traders who thrive on volatile prices are enjoying the show. The danger is that something unforeseen will cause the snake to strike and hold on. Problems said to be roiling the markets were predicted in January

http://www.chicagotribune.com/business/chi-0606070144jun07,1,128473.story?track=rss



FFASTFILL SIGNS ANOTHER NEW GLOBAL FINANCIAL INSTITUTION FOR ITS APPLICATION SERVICE

Third Contract for Rapid Connection to Energy Markets

CHICAGO, June 7, 2006 – FFastFill, the leading provider of application services to the global derivatives market, announced today that another global financial institution has contracted to obtain its third party front-end trading technology as a service provided by FFastFill Inc., its Chicago-based subsidiary. This new service will provide traders in the institution’s advisory and capital markets business with direct access to electronic exchange-traded energy markets.

This contract win represents FFastFill’s third contract in the last few weeks which enables firms to connect rapidly to the electronically traded energy markets. The contract adds a new global financial institution to the growing list of firms using FFastFill’s application service.

www.ffastfill.com



Merrill Discrimination Suit Continues

Talks between Merrill Lynch & Co. and a group of black brokers suing the firm for discrimination have broken down, after both sides failed to agree on the size of a financial settlement, Merrill Lynch said Tuesday.

http://biz.yahoo.com/ap/060606/merrill_lynch_discrimination_suit.html?.v=2



Cargill Renews Commitment to Farm Safety 4 Just Kids for 2006

Earlham, IA (June 6)-– Cargill recently renewed its commitment to Farm Safety 4 Just Kids (FS4JK) in 2006, by contributing $75,000 to support the organization’s efforts to keep rural kids safe and healthy.

http://www.grainnet.com/info/articles.html?type=bn&ID=34567



ISDA set to publish CDS of CDO template -source

LONDON, June 7 (Reuters) - A contract template for credit default swaps on collateralised debt obligations is set to be published by the International Swaps and Derivatives Association (ISDA) on Wednesday, said a source close to the situation.

http://asia.news.yahoo.com/060607/3/2llgo.html



Career Day: Close encounters

The fascinating employment history of a SPhinx funds’ director

Patrina Khoo Farquharson, a director of at least two SPhinX funds – the Irish Stock Exchange-listed SPhinX Ltd and SPhinX Strategy Fund Ltd – since Oct. 2004, is hardly a well-known figure in the investment world. But that may be about to change as SPhinX investors, including some of the world’s largest financial services companies, attempt to block a settlement that would cost them as much as $263 million, and address issues arising from the complex, and allegedly conflicted, relationships between Refco, MinusFunds and the SPhinX investment entities. Farquharson’s career, has put her close to, if not actually on the scene of, several spectacular financial accidents. While never accused of wrong-doing, her employment history includes tenures at:

A company involved in Florida’s largest Ponzi scheme, which cost investors over $200 million;
An alleged money-laundering operation whose principal was earlier this year charged with laundering $1 billion in the illegal proceeds of “international narcotics trafficking, securities fraud scams, income tax evasion, mail and wire fraud schemes, and bank fraud, among other crimes” and
Another firm implicated in a major European investment fraud that has cost investors $160 million, according to official sources, although the manager at the center of the case has put the losses at a much higher sum.
http://nakedshorts.typepad.com/nakedshorts/2006/06/career_day_acci.html



Fithian to vie for Martin County clerk’s position

Julie Fithian has announced her candidacy for clerk of Martin County on the Republican ticket. A Martin County resident for 13 years, she lived in Chicago, before moving to Shoals. From 1982 until 1993, she worked for various commodities firms and was operations manager for Shearson Lehman Brothers at the Chicago Board of Trade when she left Chicago. The position included handling accounts for customers all over the world.

http://www.washtimesherald.com/local/local_story_157223200.html?keyword=topstory



Observations – Statistics - Commentary



GL at CBOT



Just FYI, GL Trade will be demonstrating their GL WIN trading platform in the CBOT Awareness Center from 9-11 am this coming Thursday, June 7th. Their goal is to further educate the CBOT floor community about their products suite, especially with the upcoming side-by-side trading in the ag markets. Contact Mike Wilkins, Sales Engineer, GL Americas at 312.386.2431 or mwilkins@glchicago.com, or Skype: MichaelGWilkins for more details.



+++++



No Volume Statistics today



+++++



I am out of the office today due to family commitments.



Regards,



John J. Lothian

Publisher

John Lothian Newsletter

www.johnlothiannewsletter.com




Futures Brokerage - Business Intelligence




John J. Lothian
President- Electronic Trading Division
The Price Futures Group, Inc.
141 West Jackson Blvd., Suite 1340A
Chicago, IL 60604

jlothian@pricegroup.com
johnlothian@johnlothian.com
IM: LothianJohnJ
http://www.pricegroupetd.com
tel:
tel2:
fax:
mobile:
+1 312-264-4350
+1 800-713-0215
+1 312-264-4399
+1 312-203-5515










Add me to your address book...
Want a signature like this?








Disclaimer: The John Lothian Newsletter and Environmental Markets newsletter are products of John J. Lothian & Company, Inc. The opinions expressed in the John Lothian Newsletter and Environmental Markets are strictly the opinions of John J. Lothian & Company, Inc., and not necessarily those of Mr. Lothian’s employer, The Price Group and its management, and is intended solely for informative purposes and is not to be construed, under any circumstances, by implication or otherwise, as an offer to sell or a solicitation to buy or trade in any commodities or securities herein named. Information is obtained from sources believed to be reliable, but is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted. Security futures are not suitable for all customers.



Futures and options trading involve risk. Past results are no indication of future performance.



This is an opt-in newsletter. If you wish to unsubscribe, please check the address of list you are receiving the newsletter from and then click on the appropriate link below.



mailto:johnlothiannewsletter-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter1-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter2-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter3-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter4-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:johnlothiannewsletter5-request@johnlothiannewsletter.com?subject=unsubscribe



mailto:jimkharouf-request@johnlothiannewsletter.com?subject=unsubscribe



If the unsubscribe links above do not work for you, please send an email to johnlothian@johnlothian.com with unsubscribe in the subject line.



The John Lothian Newsletter and Environmental Markets are voluntary pay newsletters. The voluntary pay fee for a 1-year subscription to the John Lothian Newsletter is $95, or $55 for 6-months. The voluntary pay fee for a 1-year subscription to the Environmental Markets newsletter is $150. For more details about this, or to sign up to receive either newsletter, please go to www.johnlothiannewsletter.com.