May 09, 2017 12:35 pm UTC| Research & Analysis Insights & Views
Were adding EURAUD to boost our overall EUR exposure as the passage of the French election this weekend should clear the way for an intensification of portfolio inflows into the region in keeping with the cyclical...
FxWirePro: A run through on buying 2M25D risk-reversals against shorting 9M35D USD puts/CNH calls
May 09, 2017 10:20 am UTC| Research & Analysis Insights & Views
Hedging back-end USDCNH option shorts with front-end risk-reversals (equal USD notionals on all legs) does not detract from short vol returns while reducing drawdowns by 30%-40% Cum. P/Ls (bp USD) from i) selling 9M 35D...
May 09, 2017 10:13 am UTC| Research & Analysis Insights & Views
Brexit caused two Sterling debacles, first in June with the vote and then after the summer when PM May suggested a hard exit. In spite of GBPJPY downtrend, election clears the way for a longer and smoother Brexit...
FxWirePro: More RORO than Euro-up on perplexed macro plot, OTC FX to substantiate
May 09, 2017 07:33 am UTC| Research & Analysis Insights & Views
Macrons victory has been greeted by markets with a big yawn, which in hindsight should not be too surprising given that it was anticipated. The euro had rallied last week in expectation of a Macron presidency. Perhaps...
Moody's: Bank of Japan emerging as main source of affordable funding for government
May 09, 2017 02:44 am UTC| Research & Analysis Central Banks
Moodys Investors Service says that the Bank of Japan (BOJ) is emerging as the main source of highly affordable funding for the government of Japan (A1 stable). Structural factors weighing on net savings rates will...
May 08, 2017 12:36 pm UTC| Research & Analysis Insights & Views
The Chinese PMIs indicate easing Trend in Trade: Chinas NBS manufacturing PMI eased in April, declining to 51.2 from 51.8 in March, which was the highest reading since April 2012. Easing was broad-based across the major...
FxWirePro: VXY vols print fresh Fed-cycle lows after French polls
May 08, 2017 12:23 pm UTC| Research & Analysis Insights & Views
VXY printed fresh Fed-cycle lows this past week and is screening 1 vol cheap vis-à-vis macro correlations. The undershoot is not yet at historical extremes but bears close watching in a seasonally volatile...
South Africa’s plan to move away from coal: 8 steps to make it succeed
Germany lowers voting age to 16 for the European elections
IceCube researchers detect a rare type of energetic neutrino sent from powerful astronomical objects