Trading
April strong for forex
NEW YORK – April was a positive month for FX trading, with platforms EBS and FXall both breaking respective trading volumes.
Danske downgrades dollar expectations
Danske Bank has made a substantial revision to its EUR/USD forecasts, expecting it to reach levels close to 1.28–1.30 during the summer, driven by a Fed pause and increased anxiety about global imbalances.
Where have all the petrodollars gone?
Jeffrey Young, managing director, head of currency research, and Eric Darwell, vice-president, currency strategist VP at Citibank in New York, analyse where 'petrodollars' are going and the ramifications for the greenback
Dollar entering a defensive phase
Informa Global Markets remains top of the 12-month rankings, following accurate predictions in EUR/USD and GBP/USD. Informa correctly forecasted 1.23 and 1.76 against means of 1.30 and 1.83 respectively.
Reuters adds ISK
Reykjavik – Global information provider Reuters has launched the Icelandic krona on its Dealing 3000 spot FX matching service.
Lava moves into interbank FX space
NEW YORK – Citigroup subsidiary, Lava Trading has confirmed plans to launch a new interbank forex trading system this year. The move makes it the first of a number of platforms rumoured to be taking the plunge into the space.
Risky currencies are well supported
Despite a widespread perception to the contrary, most high-yielding currencies continue to do very well on strong fundamentals and firm inflows, says Beat Siegenthaler, senior strategist at TD Securities in London
A changing interbank landscape
The decision by the world's largest interdealer broker, Icap, to acquire spot FX broker EBS bears significant implications for the current landscape of the FX industry.
Icap concludes deal with EBS
LONDON – Interdealer broker Icap's agreement to acquire electronic forex heavyweight EBS last week could signal a shift in the current landscape of the forex market, say analysts.
Trading FX implied volatility – part II
The use of at-the-money straddles can be an effective way to trade implied volatility, but it is not without its limits. In the final part of a two-part series, Duncan Farnsworth, head of risk analytics in the currency structuring group at Royal Bank of…
Is sterling ripe for a fall?
The trade-weighted value of sterling has dropped to levels last seen in late 2003. At the start of Q2 there has been much speculation about the increasingly negative prospects for the UK economy and sterling, writes Jeremy Stretch, FX strategist at…
Carry trades driving the greenback
Skandinaviska Enskilda Banken (SEB) increased its average accuracy in the one-month historical index by accurately predicting a USD/JPY of 118. The mean forecast was 116.
Icap concludes deal with EBS
LONDON – Interdealer broker Icap's agreement to acquire electronic forex heavyweight EBS last week could signal a shift in the current landscape of the forex market, say analysts.
China is not the only egg in the basket
Reuters' deal with Union Bank of India demonstrates that there is a wealth of opportunity in the sub-continent for banks looking to drive forex returns in emerging markets.
Yen and RMB undervalued, finds survey
LONDON – The majority of fund managers believe the yen is undervalued based on current fundamentals, according to research by US investment bank Merrill Lynch.
Union Bank of India to use Reuters FX portal
MUMBAI – Union Bank of India (UBI) has selected Reuters, the global information company, to implement an online FX trading portal.
Dollar remains supported for now, says ABN Amro
ABN Amro has topped the one-month rankings forecast and places second in the three-month thanks to its sceptical take on bearish greenback sentiment, according to Tony Norfield, global head of foreign exchange strategy in London.
Hungarian Forint: A foggy forecast for forint exchange
The first half of the two-leg election in Hungary points to political status quo in the central European nation, but analysts point to significant likely volatility in the forint over the next few months.
There are no options benchmarks
The following is a case study of option volumes with delayed delivery, by Nasir Afaf, global head FX options, Commerzbank Corporates & Markets in London
Pressure likely for the greenback
The improvement in February's US trade data is likely to be short-lived. Deutsche Bank's strategy team continues to look for EUR/USD to grind higher over the course of the quarter. Is the deterioration of the US basic balance still a valid reason to sell…
MAS maintains forex policy
SINGAPORE – The Monetary Authority of Singapore (MAS) maintained its stance of 'modest and gradual' appreciation at its semi-annual policy review last Tuesday.
Currency managers down in March
LONDON – Most currency funds had a tough time generating positive returns last month, indicates research from ABN Amro.
JP Morgan hit by sales departures
NEW YORK & LONDON – JP Morgan's FX sales operation has been hit by a number of departures including a number of defections to Merrill Lynch.
A changing regime
Low-yielding currencies are set to make a comeback, writes Teis Knuthsen, head of FX and fixed-income research at Danske Bank in Copenhagen