The SEC and CFTC have formalized a coordination pact through a memorandum of understanding to align their rulemaking, supervision, and enforcement, particularly regarding financial markets and digital assets. This agreement aims to address longstanding issues of overlapping jurisdiction and regulatory inefficiencies, setting the stage for clearer guidance and shared oversight responsibilities between the two agencies.

Binance has filed a defamation lawsuit against The Wall Street Journal over a report alleging the exchange halted an internal probe into more than $1 billion in cryptocurrency flows linked to Iranian networks. Binance denied the claims, saying the investigation continued, suspicious accounts were removed and findings were reported to law enforcement.

Concerns about insider trading are emerging as a potential threat to prediction market platforms such as Polymarket and Kalshi after several accounts reportedly made about $1.2 million from well-timed bets tied to geopolitical events, writes Jennifer Johnson. If users believe counterparts have access to non-public information, confidence in the markets could erode and slow adoption despite their growing popularity, Johnson says.

Asian banks are reassessing their lending strategies in the Middle East due to escalating conflict in the region. At the Asia Pacific Loan Market Association meeting in Hong Kong, private discussions centered on the risks posed by the conflict, leading some banks to pause or review their Middle East operations. This marks a shift from the recent enthusiasm for the region, where syndicated loan volumes rose by 12% in 2025.

Fateen Sharaby, head of index derivatives at Bloomberg, discusses how Bloomberg is sourcing data for prediction markets, and expanding into products such as credit index futures and equity futures.

Several major hedge funds posted losses during a volatile trading week driven by the Iran conflict and broad market sell-off. Citadel's Global Fixed Income fund fell 4.75% and Taula Capital dropped about 4.7%, while D.E. Shaw's Composite and Oculus funds were among the few to post gains.

US investment-grade issuers raised more than $65 billion on Tuesday, setting a new one-day record as companies rushed to tap steadier markets. Activity spanned nearly a dozen large borrowers across sectors, reflecting a broader financing push driven by AI-related spending needs and opportunistic timing amid geopolitical uncertainty.

JPMorgan Chase has implemented significant markdowns on the value of loans serving as collateral for private credit groups, primarily targeting those tied to software companies. This move, which limits the amount of credit available to these groups, reflects the bank's increased caution amid concerns about credit quality and the potential disruption posed by AI to enterprise software. Unlike many peers, JPMorgan reserves the right to revalue these assets at any time, signaling a more proactive stance in risk management.

JB Mackenzie, vice president and general manager of futures and prediction markets at Robinhood, returns to the Modern Money SmartPod to discusses the rapid evolution of prediction markets, the future of 24/7 trading, the integration of prediction markets into financial ecosystems and the potential of perpetual futures.

Jump Trading Chief Investment Officer Dave Olsen said proprietary automated market makers are emerging as a new concept drawing attention across trading firms. Speaking at FIA Boca 2026, Olsen said the model allows users to deploy their own liquidity algorithms on decentralized platforms, effectively creating "a mini Jump Trading."