FIA has commended regulators for making changes to bank capital proposals, while urging further changes. FIA appreciates improvements such as the exclusion of client-facing derivative exposures from the Credit Valuation Adjustment framework and the introduction of cross-product netting. However, the FIA recommends further refinements, including better reflection of risk offsets and clarification on cross-product netting usage.

Prediction markets reached a record $10.8 billion in weekly trading volume in June, driven by events such as the SpaceX IPO and a US-Iran peace deal, according to a16z crypto. The firm notes that prediction market open interest also hit a record $1.48 billion. Kalshi has seen increased use of event contracts by hedge funds, proprietary trading firms and asset managers.

Kraken has seen an increase in demand for perpetual futures tied to commodities, foreign exchange and equities, says John Palmer, global head of derivatives. "We see demand outside of crypto, and I think we're going to continue to see growth in those products outside of crypto," Palmer says. "It's not really a US-focused theme right now, because we're offering that to non-US customers. That demand is really much more global."

Experts and regulators at the International Derivatives Expo called on financial market participants to enhance cross-market surveillance to combat market abuse. Andrew Adams of RBC notes that existing systems are fragmented, making it difficult to track activities across instruments and venues. The UK Financial Conduct Authority's Robert Mangham says some firms have made progress but more effort is needed industrywide. Artificial intelligence could help, but human oversight remains crucial.

One of the biggest challenges of 24/7 trading is securing weekend staffing, said ecchange and clearing officials at FIA IDX. "Getting people comfortable with working over the weekends is not an easy task by any means," says Kate Hughes, executive director for risk management at CME Group. "I don't have people running over saying 'I'd love to work weekends,'" says Gemma Lloyd, chief operating officer for EMEA at StoneX. "A day off in lieu of flexibility really isn't going to cut it."

The European Securities and Markets Authority does not need a new mandate to enhance competitiveness, citing the existing focus on market efficiency and safety, said Klaus Löber, chairman of the central counterparty supervisory committee, at IDX. However, the European Parliament argues that the absence of a competitiveness mandate is a significant structural deficiency in the Market Integration and Supervision Package.

Disruption to Gulf shipping has caused significant and lasting challenges for global commodity markets, with experts warning at the FIA International Derivatives Expo that even if traffic through the Strait of Hormuz resumes, the effects will persist. Major oil producers and shipping companies remain hesitant to ramp up activity, as confidence in the recent Iran-US memorandum of understanding is fragile. The shutdown has led to prolonged shortages, affecting not just oil but also metals such as aluminium, where EU supplies have been particularly hard hit.

At FIA's International Derivatives Expo, European policymakers and market leaders emphasized the continent's potential to compete globally, citing its scale, capital, and talent. However, they highlighted the need for faster execution, deeper market integration, and decisive action to overcome barriers such as fragmented markets and regulatory complexities. "We're going to have to move from words to much more targeted and swift action," says Mairéad McGuinness, former European Commissioner for financial services. "We don't have the luxury of time."

Jane Street, a traditionally secretive Wall Street trading firm, is stepping into the spotlight as it aims to become a major force in artificial intelligence. The firm has grown to 3,500 employees and plans to hire more than 500 this year. Jane Street's profits have surpassed those of Goldman Sachs and Morgan Stanley, driven by investments in companies such as Anthropic. Jane Street is actively publicizing its AI initiatives, including a $1 billion investment in CoreWeave, to attract AI startups and talent.

Prediction markets have seen a surge in activity during the World Cup, with more than $5 billion traded on platforms such as Polymarket and Kalshi. The event has created millionaires and significant losses, exemplified by a nearly $9 million loss on a single bet. DraftKings has reported a 200% increase in customers during the tournament.