Interdealer broker TFS Energy completed a weather derivatives Dutch auction on behalf of the hybrid trading desk at investment bank UBS, soliciting cold degree day swap offers.
The terms of the auction were for May to September 2008 for 11 US cities including New York, Boston and Philadelphia. The auction was fully placed and was over-subscribed in terms of the capacity that was available in the market, according to TFS.
The weather auction is the largest that TFS has brokered, and was made up of
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