Trading
EBS gets foothold in China
SHANGHAI – Spot broker EBS has signed up Bank of Montreal as the first bank in mainland China to use EBS Spot, its spot broking platform. Through the agreement, Bank of Montreal (BMo) will be able to trade spot FX from its offices in Beijing, Guangzhou…
JP Morgan and Bloomberg launch Asian currency index
SINGAPORE – JP Morgan Chase and market data vendor Bloomberg have teamed up to launch a tradable index of currencies from Asian emerging markets, the firms announced last week.
BIS paints bright future for FX
BASEL – The huge growth in daily turnover in the global foreign exchange market, revealed in the Bank for International Settlements’ (BIS) triennial FX survey last week, has painted a bright future ahead for forex market participants.
Oil woes hit yen
Neil Mellor, London-based analyst at Bank of New York points to the weakness of the Japanese market in the wake of high oil prices
Seven banks to start testing CME FX on Reuters
CHICAGO – Seven banks will start beta-testing CME FX, the Chicago Mercantile Exchange’s e-FX futures available on Reuters 3000 terminals, at the end of the fourth quarter, Reuters and the CME said last week.
Monetary policy key for Norway trades
OSLO – Norway’s monetary policy will be the major driver of the krone this year, market participants have told FX Week .
NDFs for a company with operations in China
Clients based in one country with manufacturing bases in another are exposed to risk if the country of production’s currency appreciates. Here, Ashish Advani, director, risk solutions at Travelex in London, proposes a solution that hedges the risk using…
Currency derivatives turnover soars ahead
A marked feature of the Bank for International Settlements’ (BIS) latest triennial survey of the global FX markets is the massive surge in derivatives turnover.
US, UK and Australia win in global boom
The main winners in the booming global FX industry are those markets benefiting from control of the lion’s share of forex activity, soaring trade and commodity-related currency business – notably the UK, the US and Australia.
Lack of volatility in US/£ pair
There has been little divergence in views on cable over the last few weeks in the FX Week Currency Forecasts Index, reflecting lack of volatility in the currency pair.
The 'triple-currency wedding cake deposit'
The past year has seen a dramatic surge in the use of FX-linked yield-enhancement products. Generally, these products fall into two categories: dual-currency redemption engineered by the sale of an option; and range-enhanced coupons that contain embedded…
ABN Amro revises forecasts
ABN Amro is among the banks revising currency forecasts in response to an increasingly bearish outlook for the dollar.
Trading volumes surge on rupiah volatility
JAKARTA – Trade volumes in the Indonesian rupiah surged by around 50% when markets reopened following the presidential elections last week.
FX majors unmoved by stronger capex
The capital expenditure recovery is unlikey to shake FX majors from their limited volatility, says Darragh Maher, senior currency strategist at Calyon
Saxo returns to Australia
SYDNEY – Saxo Bank was last week able to return fully to the Australian FX market, after moves by the regulator had limited its ability to trade there since March.
Making the most of upcoming volatility
For the currency overlay manager looking to take advantage of a burst of market volatility at the start of the fourth quarter, Simon Derrick, head of Bank of New York's currency strategy team, describes a simple, low-cost way for them to express their…
Late summer lull aids accuracy
The FX markets are experiencing a late-summer lull, as the major currency pairs continue trading in the tight ranges in which they have been stuck for the past few months. That inactivity has fed through to the FX Week Currency Forecasts Index, with very…
Optimism ahead of latest BIS FX trade figures
BASEL – Banks are bullish about the Bank of International Settlements' (BIS) latest FX trading figures, due out in a survey this week.
NAB begins major restructuring
MELBOURNE – National Australia Bank (NAB) has instituted a major restructuring, in a bid to improve integration across divisions and put the rogue trading scandal behind it, as further departures emerged last week.
Preparing for a break from range trading
Markets have been fairly flat over recent months. How can options traders make the most of this, and how should they prepare for a break from range? By Cornelius Luca, FX Concepts' New York-based head of client advisory for the Americas
China adds two more onshore-trading banks
BEIJING – Two more banks have won approval to trade onshore derivatives in China, as the country continues opening up to foreign institutions.
Hedge funds to rethink strategy
LONDON – Large numbers of hedge funds drawn to the FX market over the past year are likely to modify trend-driven FX trading, after being stung by heavy losses this year.
Citi reorgs senior management
LONDON – Citigroup has set up a new products and services group for foreign exchange, as part of a sweeping reorganisation of senior management.
FX policy has worked, says RBA
CANBERRA – The Reserve Bank of Australia (RBA) has succeeded in its aim of stabilising the Australian dollar through intervention in the currency markets, it said last week.