Volatility
El-Erian on Covid-19 policy risks and ‘zombie’ markets
Former Pimco chief says Fed move into high yield is a step too far, new rules needed on leverage and false liquidity, and narrow window emerges for central banks to shed some of their policy load
Who revived FX volatility?
The reports of FX vol death were greatly exaggerated. For now, anyway
Algo choice: how to implement a market impact/volatility trade-off
Quantifying how macroeconomic announcements affect market reaction is key to deploying the right FX algo, writes Alexei Jiltsov of Tradefeedr
CLS data scientists try to decode FX volatility
New team has flood of info to work on, after Covid-19 trading surge pushes March volumes up 27%
FX vol revived by Covid-19 – but for how long?
Traders split on whether virus impact or central bank responses will prove most powerful
In choppy FX markets, algos buck expectations
Goldman, Nomura and others report increased volumes, although some clients revert to principal quotes
Coronavirus jolts FX options market
Analysis of transaction data shows record notional volumes for some G10 pairs
For FX dealers, virus brings volumes
Mixed feelings for sell-side traders as Covid-19 spurs wave of speculation and hedging
Dealers turn to mid-cap and EM deal-contingent trades
Premiums of more than 25% are attractive to banks battling low vol and increasing competition
For FX vol, think globally, but act locally
Country-specific stories are where to look for volatility, writes Fenics
FX options see record volumes as yen goes off-script
Coronavirus outbreak and recession fears trigger frenzied trading in USD/JPY options
Who killed FX volatility?
Beyond central bank policy, traders see a range of hidden structural factors at work
Algos: choosing the right horse for the right course
Liquidity and volatility regimes play big role in performance, BestX quants show
Morgan Stanley FX loss leaves ill-feeling, questions in wake
Options traders saw odd quotes by US bank months before losses were publicised
LMAX: bitcoin to break $30,000 in 2020
Exchange head David Mercer foresees more transparent market, freed of “pariah” of last look
JP Morgan: beating lower margins, flat volumes and the competition
Foresees collaboration with clients and technology providers on FX tech infrastructure, and working with regional players
Banks step up stress-testing of Hong Kong dollar peg risk
Flurry of FX options trades make banks re-evaluate exposures
Volatility becalmed, trade in FX options plummets
With central banks in tandem on policy, market churn lessens considerably
Argentina reimposes currency controls as peso plummets
Authorities aim to stem depreciation of peso, which has fallen 23.9% against dollar since August 11
Monex: Fed can’t curb dollar strength
Only improvement in global growth will end the strong dollar dynamic
FX volatility rouses from hibernation
Volatility picks up on back of fluctuating US-China trade tensions and central bank easing
Standard Chartered fares best in mixed Q2 European Ficc results
Client activity remains muted as low volatility and geopolitical uncertainties weigh on sentiment
FX trading in London hits record high
UK capital cements position as largest FX hub; New York sees significant fall in daily turnover
US banks see Ficc earnings drop in Q2 2019
Results subdued due to depressed volatility and low client activity