Foreign exchange
West Africa launches new currency in break with France
New ‘eco’ currency pegged to euro, but France will have less involvement in West African Economic and Monetary Union
First Ibor versus SOFR cross-currency swaps trades
Westpac and Citi strike BBSW/SOFR trade in landmark moment for Australian market
LMAX: bitcoin to break $30,000 in 2020
Exchange head David Mercer foresees more transparent market, freed of “pariah” of last look
JP Morgan: beating lower margins, flat volumes and the competition
Foresees collaboration with clients and technology providers on FX tech infrastructure, and working with regional players
FX HedgePool: move to clearing may be irresistible
Jay Moore says balance sheet pressures will redefine buy-side credit relationships
Debelle: last look will not be banned
GFXC head says market participants have a choice of whether to use a liquidity provider that employs the practice
Green FX hedging tipped to grow after BNPP/Siemens Gamesa deal
If the energy company misses ESG score it will pay a “sustainability premium” towards forestry projects
Greater exchange rate flexibility warranted in Peru – IMF
Limiting interventions would help reduce dollarisation further, says fund
Chile’s FX intervention likely to stabilise peso
But much depends on the reform programme the government chooses to adopt
Buy side still not adopting FX Global Code – Debelle
FX committee wants asset managers to embrace standards; shifts focus to algo trading
Chile to sell $400m a day in first week of FX interventions
Central bank selling $200 million in spot market and $200 million in 30-day forwards
Chile launches biggest FX intervention in 20 years
Chilean peso has fallen by 14% against dollar since mid-October amid massive street protests
Brazil sells dollars as real falls to record low
Currency declines 11.3% against dollar since July, as central bank cuts interest rates by 150bp to new low of 5%
Buy-side traders cannot be passive with algo execution
Traders need to be proactive and ensure in-depth monitoring throughout life of an order, panellists say
iBanFirst expands with NBWM acquisition
More than 1,000 clients will gain access to a variety of FX products and services
Argentina’s currency controls help stabilise peso and reserves
Uncertainty about the fiscal policies of the incoming president is contributing to falling bond prices
R5FX: rupee NDF volumes will grow after CNH-type setup
Offshore rupee trading will increase despite RBI’s move to encourage onshore trading, it is claimed
IMF praises Bank of Mexico for not intervening in FX market
Peso strengthens against regional peers