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French push for ECB reform

PARIS -- A French economic think tank has urged European authorities to reform the European Central Bank (ECB) ahead of the enlargement of the European Union and the eurozone.

Aussie funds shun overlay

SYDNEY -- Australian superannuation funds’ use of currency overlay has declined, according to a report made public last week.

Malaysian central banker addresses forex market

KUALA LUMPUR -- The governor of the Central Bank of Malaysia last week told forex dealers the concept of a single Asian currency was unlikely in the immediate future. But, "this does not preclude greater co-operation on exchange rate issues and other…

AIG joins CLS as new shareholder

LONDON -- American International Group (AIG) has become a shareholder of CLS Group Holdings, the holding company for Continuous Linked Settlement (CLS), the firm announced last week.

Asian banks reinvent treasury

KUALA LUMPUR -- Banks in Asia are reinventing their treasury departments to become more customer-centric, with increasingly sophisticated products, heard delegates at the forex industry congress in Kuala Lumpur.

Real makes shaky steps to recovery

SAO PAULO -- The Brazilian real has steadied in the aftermath of the recent presidential elections, but Brazil’s debt problems are still threatening the currency.

Rate cut turns market anti-dollar

NEW YORK -- The US dollar hit three-month lows against several major currencies last week, triggering a welcome return of volatility to the markets after months of range trading.

That sinking feeling

Policy flexibility and high productivity have supported the dollar, but they aren’t enough to turn the tide of weak growth and negative technical signals, says Francesca Fornasari.

Germany: the eurozone laggard

There are several positive influences on the euro, but the German economy is holding the currency back, says Nick Bennenbroek, international economist at Brown Brothers Harriman in New York

Swissie stays stable

Risk aversion has aided Swiss franc progress, says David Durrant, chief currency strategist at Julius Baer Asset Management in New York

Short-term divergence

Traders seeking to exploit medium-term misalignments in FX rates should take a close look at euro/Norwegian krone and dollar/Swiss franc trends, says Aziz McMahon, FX strategist at ABN Amro in London

Market mulls options benchmark

LONDON -- Standard FX options benchmark prices could be the answer to inaccuracies in marking exposures to market, but whether the move is possible is a matter for debate, according to senior options market participants.

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