Trading
Counterparty risk is driving industry change
The question of counterparty risk is leading to some significant changes in the foreign exchange business, chiefly in introducing innovative ways to manage this risk.
HSBC offers Islamic FX options in London
LONDON - HSBC is now dealing in sharia-compliant plain vanilla foreign exchange options from London, in response to growing global demand for the product.
GBP fall sparks volume rise
LONDON - The pound's fall to record levels against the euro last week sparked unseasonal trading in the foreign exchange markets, say traders.
Currency strategy success continues
LONDON - The reversal of fortunes for currency managers continued in November, with all but those employing carry strategies generating positive returns, said the Royal Bank of Scotland (RBS).
Futures look bright for Ice
ATLANTA - The Intercontinental-Exchange (Ice) Millions FX futures contracts have traded at an average daily volume of $350 million since launch a month ago, according to the Atlanta-based exchange.
Capital controls hamper króna's comeback
REYKJAVIK - Iceland re-floated its currency last week but existing capital controls continue to drive away interest in króna trading.
JPM axes in London FX
LONDON - JP Morgan made cuts to its foreign exchange team in London last week, according to market sources.
Ellis departs CIBC
TORONTO - Craig Ellis, managing director in foreign exchange and money markets at CIBC World Markets, served his last day at the firm last Friday (December 5).
Yuan NDFs set to peak
BEIJING - Chinese renminbi non-deliverable forward (NDF) rates could peak this week, ending the rapid rise seen since the government indicated plans to allow the unit to depreciate at the end of November, according to traders .
Monahan ends six years at Icap
HONG KONG - Mark Monahan, chief executive at Icap's electronic business in the Asia-Pacific region, will leave the firm at the end of the year.
A licence to deal
Experienced traders and other market professionals agree, the current market conditions and environment are unique - the government effectively having to shore up the balance sheets of some of the best-known and well-established banking institutions by…
TD Securities gets back to basics
TD Securities has surged to the top of the one-month forecast rankings this week by focusing on the US dollar story in an environment driven by short-term factors.
Parker FX Index posts record results in October
STAMFORD, CT - The Parker FX Index generated its largest monthly gain in October since 2003, returning 2.53%, in a month that saw a continuation of dollar appreciation.
Retail FX: the light at the end of the tunnel?
Retail foreign exchange continues to be a beacon of light for wholesale FX banks, as they push ahead with plans to expand initiatives into next year.
FX bonuses expected to drop by 80%
LONDON - Bonuses will plummet by 80% for most foreign exchange staff in London, according to research by Armstrong International, a London-based search firm.
India to open rupee/dollar futures to FIIs
MUMBAI - The Reserve Bank of India and the Securities and Exchange Board of India (Sebi) are expected to allow foreign institutional investors (FIIs) to participate in the currency futures market soon, market participants speculate.
China in shock interest rate cut
BEIJING, MUMBAI & BANGKOK - The People's Bank of China shocked markets with an aggressive 108 basis point cut to interest rates last Wednesday (November 26), in its latest move to curb the rapid decline in growth.
Hedge funds outshine banks as API price-makers
LONDON - Banks are mostly price-takers when trading on spot broking system EBS through an application programming interface (API), according to analysis by interdealer broker Icap.
A storm in a teacup
Henrik Gullberg, senior foreign exchange strategist at Deutsche Bank in London, says fears over the Swiss franc's status as a safe-haven currency are exaggerated
Morgan Stanley's Mettler gets new deputy head
LONDON - Morgan Stanley has promoted Marcin Wiszniewski to a newly created role as deputy head of global foreign exchange and emerging markets (EM), effective December 1.
One up, three down at Citi
NEW YORK & LONDON - Citi's global head of electronic execution has been made redundant and cuts have been made to the foreign exchange sales team in London, as part of the bank's drive to reduce headcount globally.
MarketFactory Whisperer closer to launch
LONDON & NEW YORK - MarketFactory's Whisperer product is being beta-tested by a group of clients made up of banks and funds, James Sinclair, chief executive of the financial technology firm in New York, has told FX Week. He expects the first client to go…