Economy buoys UK banks’ forex vols

Barclays Capital’s forex business remained on a steady footing, while Lloyds TSB and HBOS Treasury Services reported growing revenues in a year that saw many US clients withdrawing business from the currency markets.

The strength of the UK economy, compared with that of the US and Europe was one explanation for increased comparative activity, said a forex official in London last week: "It’s not surprising that UK customers are doing more forex business," he said.

Barclays Capital, which

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