Foreign exchange
ETRM evolution
As energy trading and risk management systems become increasingly sophisticated, Rana Basu of TradeCapture looks at what users need to consider as they progress from implementing and using the most basic to the most complex systems
"Several weeks" before first asset purchases, says Paulson
It will be several weeks before the US Treasury will make its first purchase under the $700 billion Emergency Economic Stabilisation Act (EESA), according to US Treasury secretary Henry Paulson.
Fed to lend additional $37.8 billion to AIG
The US Federal Reserve has stepped in again to help troubled insurance company American International Group (AIG), authorising the Federal Reserve Bank of New York to borrow up to $37.8 billion in investment-grade fixed income securities from AIG in…
Pimco in frame to run commercial paper purchase facility
The Federal Reserve Bank of New York has confirmed it is in talks with California-based bond fund Pimco to manage the government’s new commercial paper purchase facility (CPFF).
Bank of America and RBC in ARS settlement
Bank of America and Royal Bank of Canada (RBC) yesterday agreed to buy back up to $5.5 billion of auction rate securities (ARS) they issued, becoming the latest banks to reach an agreement in principle with the US Securities and Exchange Commission (SEC).
Russian liquidity boost on hold
A proposed $37 billion (950 billion RUB) liquidity injection for Russia’s biggest banks stalled in parliament yesterday, adding to Moscow’s financial troubles.
US may buy shares in troubled banks, Paulson says
US treasury secretary Henry Paulson hinted yesterday the US government could follow the UK's lead and take equity stakes in undercapitalised US banks, as well as intervening directly in the securities markets.
UK announces £500 billion bail-out plan
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Moscow launches Brent contract
Moscow’s international exchange, the Russian Trading System (RTS-FORTS), has today introduced a Brent crude oil futures contract, which will be denominated in US dollars.
CME and Citadel plan CDS exchange
Chicago-based exchange operator CME Group and hedge fund management firm Citadel Investment Group are set to launch a fully integrated trading and clearing platform for credit default swaps (CDSs).
Rate cut not meant for financial markets, central banks say
Central banks around the world cut interest rates in the latest attempt to shore up the weakening economy today.
UK government unveils £50 billion bank recapitalisation plan
The UK government this morning announced a jumbo rescue package to recapitalise the country’s ailing banking sector.
Minibond trustee in Singapore searches for new swap counterparty
Singapore investors, which bought Lehman Minibonds, have requested the trustee of the products to consider all proposals for a new swap counterparty to replace Lehman Brothers for all series of the Minibond programme. The request came after the trustee,…
G30: regulation struggling to keep pace with modern finance
Financial regulation in many countries has been unable to cope with the speed of change in the financial services industry over recent decades, according to a report released on October 6 by the Group of Thirty (G30).
TriOptima reconciling 50% of collateralised OTC derivatives
Swedish technology company TriOptima’s portfolio reconciliation service, TriResolve, now reconciles more than 50% of all collateralised over-the-counter (OTC) derivatives transactions globally, up from 40% in June.
Federal Reserve to buy commercial paper from US banks
The US Federal Reserve has launched a new facility to purchase commercial paper from approved issuers in a further effort to provide liquidity to stricken bank funding markets.
Fed to treble lending
The Federal Reserve increased its Term Auction Facility (TAF) auctions by $300 billion on Monday, and expects its lending to reach $900 billion by November; three times the amount of liquidity provision given to date.
Auction determines settlement price for Fannie and Freddie
An auction to determine settlement prices on credit derivatives referencing Fannie Mae and Freddie Mac took place yesterday, making it by far the largest credit event fixing to have taken place since the process was first introduced in 2005.
IMF estimates crisis losses at $1.4 trillion
The International Monetary Fund (IMF) on October 7 increased its estimate of losses on US-originated housing loans and associated securitisation products to $1.4 trillion from $945 billion.
G-30 speaks out on structure of financial supervision
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US agrees $700 billion bail-out
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Germany does not guarantee savings accounts
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