Trading
FX investor caution over terror threats
LONDON -- Risk aversion in emerging markets FX has heightened in recent weeks due to increased terror threats and concerns over the success of efforts to rebuild Iraq, analysts told FX Week .
Tale of two currencies
Recent FX market moves have exposed differing interest rate strategies for the eurozone and the UK, says Lorenzo Codogno (right), co-head of European economics at Bank of America in London
FX derivatives activity flat but healthy
BASEL -- FX derivatives volumes were relatively unchanged in the second half of 2002, the Bank for International Settlements reported last month.
Reuters FX under threat EBS-Bloomberg forex alliance prompts defiant response from UK firm
LONDON -- Reuters was last week fighting back to secure its position in FX, following the announcement of an alliance between two rivals.
EUR-denominated diesel fuel hedge
There has been a recent trend for corporates to migrate the risk management of their commodity exposure from their procurement to their treasury departments. As the corporate’s risk is centralised, it is managed as part of a portfolio of more standard FX…
Intra-day volatility returns
LONDON -- Trading desks buzzed with the return of intra-day volatility to the markets last week, as the euro sailed over its launch price of 1.175 against the dollar.
Rand recovery spells good news for South African FX
JOHANNESBURG -- The dramatic recovery of the rand and surging international interest in South Africa have proved a money-maker for local banks, market participants told FX Week .
Forex dealers clear on US dollar policy
NEW YORK -- Despite conflicting comments last week, analysts said the market is clear on the US government’s strategy regarding the greenback.
Appreciating the euro
With economic conditions in the eurozone worsening, the authorities are unlikely to allow the euro’s strengthening to continue, says Mitul Kotecha, global head of FX research at Credit Agricole Indosuez in London
Saxo Bank’s forex fund flourishes online
COPENHAGEN -- Saxo Bank’s managed FX fund has produced returns of over 3% so far this year, despite the war in Iraq and the geopolitical uncertainty that marked Q1. Saxo’s 3.08% return tops the aggregated performance of the 49 currency funds on the…
Crackdown on risk budgets
Trader sign-off on revaluing data must end, says industry body NEW YORK -- The Professional Risk Managers’ International Association (Prmia) is considering issuing guidelines recommending banks separate their risk management budgets from FX and other…
Japan steps up yen intervention battle
TOKYO -- Japanese authorities intervened in the forex markets again last week as the yen came under more pressure from the weakening dollar.
Bank of Japan intervention set to continue
TOKYO – Japanese authorities spent over $20 billion in the forex markets in Q1 this year, in an effort to ease the yen’s strength against the dollar and the euro.
Intesa bows out of London
LONDON – Banca Intesa, one of the last Italian banks still trading FX in London, closed its desk in April, becoming the latest of its compatriots to consolidate forex in Italy.
EBS prime brokers unveiled
LONDON – Deutsche Bank, JP Morgan Chase (JPMC) and Royal Bank of Scotland (RBS) will be the first prime brokers on a new interbank prime brokerage service from spot broker EBS.
You have the right to remain bullish
Indonesia’s currency has offered arresting yields, while the Singapore dollar is supported by its powerful monetary authority. Further gains in both are likely, say Standard Chartered’s Claudio Piron and Marios Maratheftis.
European banks under euro threat
FRANKFURT – Major European banks’ half-year FX earnings could be under threat from the rise of the euro, senior market participants told FX Week .
Market eyes new euro/dollar high
LONDON – A lifetime high for the euro against the dollar became a distinct possibility last week as the greenback continued to crumble across the board.
Step right up for Aussie risk hedging
Fears of Australian dollar volatility could be laid to rest by a step payment option, say Paul Rhodes and Gail Sheridan, financial engineers at UBS Warburg in London.
