Trading
Making the most of fresh yen strength
A fresh bout of yen strength may be imminent. Simon Derrick, head of Bank of New York’s currency strategy team, describes a simple, low-cost strategy for currency overlay managers looking to take advantage of the latest moves
Reuters & Bloomberg target buy side
NEW YORK -- Bloomberg and Reuters are going head to head in a bid to target the burgeoning buy-side market, with forex transactional capabilities being launched by both global information providers.
Dollar rebound won’t last
Less support for US currency as year goes on, says Jeff Young, head of FX strategy at Citigroup in New York
Correction forecasting wins out
Danske Bank’s rise to the top of the one month year-to-date rankings follows a revision of its forecasts in late 2004, said Niels From, senior FX strategist at the bank in Copenhagen.
Regional FX investments take off
LONDON -- Sales of investments linked to baskets of regional currencies have taken off as investors search for yields from broad macro themes in Asia and central Europe.
HVB climbs through the ranks
HypoVereinsbank (HVB) has steadily climbed the rankings since the start of 2005 to top the one-month ranking.
AUD/USD hedge for an uncertain outlook
With an uncertain short-term prognosis for the AUD/USD, Sara Sullivan, senior manager, financial engineering at ANZ Bank in London, explains a structure that offers downside protection against a stronger Aussie while allowing unlimited upside potential…
Expect nasty surprises
Michael Klawitter, senior currency strategist for West LB, believes the US current account deficit will remain a problem
More options for hedge funds
Options give hedge fund managers a tool to manage spot currency trades outside of leaving simple orders in the market. Jeff Cooper (right), vice-president responsible for sales and structuring of FX options at Bank of Montreal in Toronto, explores this…
Asian ERM debate returns to the fore
HONG KONG -- Calls for an Asian currency regime mirroring the European exchange rate mechanism (ERM) are coming to the fore, as the region’s authorities face mounting pressure to alter their exchange rate policies.
JP Morgan takes winning view
JP Morgan has shot to the top of the three-month forecasts following a different focus on the dollar, according to John Normand, FX strategist at JP Morgan in London.
Aussie momentum wanes
The Aussie will face considerable pressure around the 0.78--0.80 region, says Tim Fox, chief economist at National Australia Bank in LondonThe Australian dollar has been in strong demand since the first week of the New Year, bucking an otherwise strong…
Asian governments hold the key to dollar’s future
LONDON – Decisions made in Tokyo and Beijing, rather than Washington or Frankfurt, will determine the future of the dollar, according to a report published last week.
Forecast traders hit the top
Forecasters who trade are often more accurate, according to Marios Potaczala, chief executive and head of trading at Warsaw-based TMS Brokers, which came top of the three-month ranking. "I traded spot for many years, and this experience has helped in…
Volatility rises ahead of G7 meeting
LONDON – Currency markets volatility has increased in the run-up to the G7 meeting this week, as traders speculate over the possibility of a change to the Chinese currency regime.
Rough ride ahead for Asian FX
Asia FX is heading for a volatile course in the coming fortnight, with poor economic data and continuing uncertainty about renminbi revaluation, according to Claudio Piron, Asian FX strategist at JP Morgan in Singapore
New Turkish lira causes surge of activity
ISTANBUL – The new Turkish lira (TRY) is seeing strong demand across Europe only a month after its rebasing, said industry insiders.
Ringgit peg likely to end, say analysts
KUALA LUMPUR & SINGAPORE – The days of the Malaysian ringgit’s six-year peg to the dollar look to be numbered, according to analysts in the region.
Dollar weakness set to continue
Jim McCormick, global head of FX research at Lehman Brothers in London, sees short-term technical gains, but continued longer-term dollar weakness
Kissing with confidence is key to FX
Keep it structurally simple (Kiss), says Evan Steed, director FX options trading and sales TD Bank Financial Group. This truism is especially appropriate as the greenback faces an uncertain future and regulatory change comes to Canada
Rising dollar trend to continue
With the euro/dollar on its way towards its peak of 1.3652 on December 31, most analysts predicting rates a month down the line on December 17 missed the greenback’s subsequent rally to 130.87 by January 17. Pronet Analytics was helped to the top of the…
Corporate confidence in FX on the rise
LONDON – Forex activity from corporates will continue to grow in 2005, following the introduction of accounting standard IAS 39 and the Homeland Investment Act, according to banks.
Further dollar falls needed
ANZ came top of the one-month forecast this month, with forecasts less than 1% out across every currency pair except for the dollar/swissie, where the bank was 1.1% out. For the euro/dollar pair the antipodean bank benefited from a lower prediction than…
The greenback/HK dollar digital deposit
Hong Kong dollar interest rates remain suppressed. Michael Image, FX structurer for Northeast Asia at Standard Chartered shows a way for HK$ depositors to achieve higher interest rates by taking advantage of the fact that US$/HK$ forwards are trading at…