News/Foreign exchange
Investors caught out by strength of Swiss franc and yen
Intervention from Swiss and Japanese authorities last week to weaken currencies meets with mixed success and leaves trading desks facing uncertain environment
Japan’s new leverage limit will hurt carry trade, says Glenn Stevens
Japan FSA's 25:1 leverage limit implemented on August 1 could kill the popularity of the carry trade for retail investors, says Gain Capital's chief executive
Trading volumes soar in July, report EBS, Reuters and FXall
High volatility in foreign exchange markets as a result of eurozone sovereign debt issues and the US debt problems have resulted in record volumes, platforms report
Questions raised over UK’s forex volume surge
Market participants attribute a range of factors to the 23% rise in foreign exchange turnover in the UK reported by the Bank of England's FX Joint Standing Committee on July 25
Robert Mundell: How to save the euro
Nobel laureate Robert Mundell says eurozone can be saved with three-pronged policy solution, ‘for the short run, intermediate run and long run’
Greece’s second bail-out met with relief
Traders and strategists believe latest rescue package is a positive development, but expect further pain ahead as it is implemented
Offshore CNY deliverable forwards in Hong Kong to outgrow NDFs
Rising offshore renminbi interbank rates in Hong Kong have made its deliverable forwards market the cheapest forum compared with NDFs and onshore forwards for corporates to hedge, bankers say
Iranian public votes on currency reform
Preliminary results show name of currency will change and four zeros will be removed from value
FX Week USA: Niche services rather than volume set to dominate FX
Conference speakers discuss the changing nature of the foreign exchange market, and agree successful providers in future are likely to be those that can offer a range of niche services rather than those with the highest volumes
DTCC, Swift reveal details of repository plans
Swift will provide its existing FX derivatives messaging traffic while DTCC will leverage its expertise in the provision of repository services, the two firms have told FX Week
Further liquidity fragmentation in foreign exchange predicted
Market-damaging behaviour should be controlled, but separation or elimination of high-frequency trading would be damaging to the market’s equilibrium, ClientKnowledge argues in research published today
Nigel Khakoo to leave Citi
US bank's global head of G-10 options trading has been made redundant
Time for a single reserve currency is over, warns Gulliver
HSBC chief executive expects renminbi to become a reserve currency within 15 years and shares the bank’s outlook for the Chinese currency
Banks and ECNs join forces to prevent FX flash crash
Citi, JP Morgan and Morgan Stanley join Deutsche Bank on Traiana's enhanced CreditLink service
Australian regulators suggest clearing exemption for foreign exchange
Reserve Bank of Australia discussion paper commits to harmonising rules with US and Europe
CFTC rule-making narrows field in repository race
CLS decides not to pitch to become a foreign exchange repository provider after CFTC rule-making demands extra granularity and timeliness in data reporting
FXall looks to Sef licence to boost liquidity
FXall chief executive Phil Weisberg suggests banks might choose to outsource some elements of their single-dealer business to multibank platforms when Dodd-Frank Sef rules become binding
Exemption clarity allows market participants to prepare for new regime
Banks, market infrastructures and industry associations prepare to move forward with regulatory preparation, now that fx swaps and forwards are set to be exempt
US Treasury will exempt forex swaps and forwards from Dodd-Frank
Afme's global forex division welcomes the decision, announced on April 29, and calls on European rule-makers to follow suit
Deutsche and Barclays sweep into CNH derivatives
Banks both now offer offshore renminbi trading in spot, forwards and swaps on their FX platforms after new launches over the past fortnight
Isda raises concerns over Russian netting laws
Despite the challenges involved, banks and brokers are excited by the progress being made to open up the Russian market
LCH.Clearnet confirms FX options clearing for 2011
Annual results confirm significant investment in developing clearing services for FX options
EU Council leans towards special treatment for FX
Industry's concerns starting to be reflected in legislation proposals
China and HK central banks close to finalising new CNH clearing arrangement
Market participants are close to completing the legal and operational details relating to a new custodian account arrangement that would allow the city's participating banks in offshore renminbi to take credit risk against the People's Bank of China…