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Foreign exchange

Breaking the chain

Most gas sold in continental Europe is still priced against oil products, even though the rationale for this link has waned. But some end-users have had enough. Oliver Holtaway reports

John Casaudoumecq

Citi's head of global commodities John Casaudoumecq explains to Oliver Holtaway why he switched to the sector after a career in the rate markets – and why he felt relocating to London was crucial to building the business

A climate of change

Proposals for an emissions trading scheme in Australia have met with widespread support from industry. However, some stakeholders are questioning what the impact will be on their business, and some believe an ETS alone may not be enough to meet…

An unfair competition

As one of the largest importers of natural gas in the European Union, Italy is a clear example of why liberalisation is harder in net importing countries. Alberto Cavaliere, professor of public economics at the University of Pavia, looks at the state of…

Onward with offsets

Awareness of the effect of carbon emissions on climate change has driven growth in the market for voluntary carbon offsets. So who is getting involved, and why? Roderick Bruce finds out

Subprime hope

As the fallout from the troubled US subprime mortgage market continues to spread, Laurence Neville looks at what the future holds and examines some important factors that must be addressed to ensure its survival

The whole package

Whole loan trading in the UK is blossoming and healthy volumes are expected this year as a host of new entrants increase liquidity in the market. Though US subprime troubles have dented trading volumes, many expect the market to continue to grow. Hardeep…

Running dry

The UK has seen an old-style bank run like those of the nineteenth century. German lenders have struggled to prop up failing conduits. Contagion from the US has reached Europe but not in the way anyone expected. Subprime lenders, in particular, have been…

An elegant charter

Patricia Cook has taken on the role of chief business officer at Freddie Mac as the mortgage agency faces its biggest challenge for the past 15 years, and perhaps its biggest opportunity. Here she talks exclusively about Freddie's strategy in the current…

Opportunity knocks

Property derivatives are already used in the commercial mortgage market, and growth is forecast in this area. However, there's untapped potential in the huge residential mortgage market - so what will it take for lenders to see the benefits of hedging…

Mission critical

Few are the lucky ones in the current market turmoil. But good fortune and good foresight mean Freddie Mac is less vulnerable than private-label peers. The subprime mess might even present a valuable opportunity for the US mortgage agency. By Rob Mannix

Hedging for the duration

As spreads to be earned on other fixed income products have declined, mortgages have become more attractive but investors should know what risks are hedged and why. Mark Raaberg considers the main risk dynamics of hedging mortgages and why duration is a…

A time of strife

Interest rate markets traded as if every day was a big news day during August. Mark Walker of RBS Global Banking & Markets looks back at swap movements and volatility spikes and asks what those meant for mortgage lenders

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