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Amid highly volatile economic environment, shielding currency exposure has become too risky than before. In this series we provide an intelligent insights and analysis on actionable FX derivative strategies that serve different levels of risk appetites and returns.

FX Hedging Strategy Series

FxWirePro: Turkish President to bolster political stability – Stay hedged in USD/TRY for upside risks

Jul 26, 2016 12:46 pm UTC| Insights & Views

Efforts by President Erdogan to re-establish social cohesion and uphold democratic ideals while avoiding a shift toward autocracy would likely help to revive market confidence, leading to declines in USDTRY. Emergency...

FX Hedging Strategy Series

FxWirePro: Short USD/CNY vols via options as tail risk of large CNY devaluation under new CFETS basket regime

Jul 26, 2016 11:35 am UTC| Research & Analysis Insights & Views Central Banks

By the end of 2016, we expect USD/CNY to be testing 7.0 due to a mix of cyclical USD strength as well as domestic factors. FX intervention cannot continue indefinitely. The orderly, low vol depreciation of the RMB has...

FX Hedging Strategy Series

FxWirePro: Load up weights in GBP/JPY longs leg of PRBS on HY IVs to hedge prolonged downside risks

Jul 26, 2016 07:50 am UTC| Central Banks Insights & Views

Please have a glance on how implied volatilities of ATM contracts of 1w, 2w, and 1m tenors are spiking crazily in OTC markets, 29.52, 25.53% and 21.52% respectively ahead of Bank of Japans monetary policy on...

FX Hedging Strategy Series

FxWirePro: BoJ manifesto in “catch 22” – Hedge GBP/JPY via HY IVs as easing motive puzzles between inflation targets and FX appreciation check

Jul 25, 2016 13:14 pm UTC| Central Banks Insights & Views

Can BoJ deliver ideal monetary policy decision as easing seems stuck in a catch 22 situation between inflation and yens appreciation? The question has been themajor focus for the week in economic data releases. This...

FX Hedging Strategy Series

FxWirePro: EUR/JPY put writers to capitalize on HY IVs in “Short Put Ladder” ahead of BoJ's monetary policy season

Jul 25, 2016 12:34 pm UTC| Research & Analysis Central Banks

The Bank of Japan (BOJ) is the central bank most likely to adopt helicopter money policy but not in its traditional sense. We see near term upswings and extreme downside risks that are signalled by risk reversals ahead...

FX Hedging Strategy Series

FxWirePro: EM Asian forex basket ahead of monetary policies and economic data season

Jul 25, 2016 11:16 am UTC| Insights & Views

Taiwan Q2 GDP is scheduled to be released on Fridayand is expected to bounce back (consensus 0.7%, previous -0.68%) after three-quarters of contraction. We do not have any trade recommendations in TWD at the moment. The...

FX Hedging Strategy Series

FxWirePro: Korean GDP may reduce easing hopes – add OTM call-writing strategy in conjunction with longs in 3m USD/KRW forwards

Jul 25, 2016 08:07 am UTC| Central Banks

Korea Q2 GDP (Tue) is expected to improve compared to a year earlier (SG 3.1%, consensus 3.0%, previous 2.8%). The move lower in USDKRW is running into intervention flows and downside technical support and further gains in...

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Economy

Trump Administration Seeks Court Pause to Reinstate 10% Global Tariffs

The Trump administration has asked a U.S. federal court to temporarily pause a recent ruling that challenged the legality of the administrations 10% global tariff policy while the government continues its appeal process....

Trump Says Iran Ceasefire Near Collapse as Oil Prices Surge

U.S. President Donald Trump said the ceasefire between the United States and Iran is on life support after Tehran rejected key parts of Washingtons proposal to end the ongoing conflict. The latest tensions have raised...

Oil Prices Rise as Dollar Gains Ahead of Key U.S. Inflation Data

Oil prices edged higher on Tuesday while the U.S. dollar strengthened as hopes for a breakthrough in reopening the Strait of Hormuz faded, increasing concerns over global energy supply disruptions. Investors also turned...

US Stock Futures Hold Steady Ahead of CPI Data and Iran Conflict Concerns

U.S. stock index futures traded mostly flat on Monday evening as investors remained cautious ahead of the latest U.S. consumer inflation report and ongoing tensions in the Middle East. Market sentiment was also influenced...

Trump-Iran Tensions Keep Oil Prices Elevated Amid Hormuz Supply Fears

Oil prices held firm during Asian trading on Tuesday after surging nearly 3% in the previous session, as renewed tensions between the United States and Iran raised concerns about global crude supply disruptions. Investors...

Politics

Arcadia Mayor Eileen Wang Pleads Guilty in China Foreign Agent Case

Arcadia Mayor Eileen Wang has agreed to plead guilty to a federal charge of acting as an unregistered foreign agent for the Chinese government, according to U.S. officials. The case has drawn national attention due to...

UAE Allegedly Conducted Secret Military Strikes on Iran, WSJ Reports

The United Arab Emirates has reportedly carried out covert military strikes on Iran, according to a Wall Street Journal report published Monday that cited sources familiar with the matter. The report claims the UAE...

Keir Starmer Faces Mounting Pressure as Labour MPs Demand Leadership Change

British Prime Minister Keir Starmer is facing growing political turmoil after more than 70 Labour lawmakers publicly called for his resignation following Labours disappointing performance in recent local elections. The...

Trump Nominates Cameron Hamilton to Lead FEMA After Previous Ouster

U.S. President Donald Trump has officially nominated Cameron Hamilton to head the Federal Emergency Management Agency (FEMA), reviving the former acting directors role within the Department of Homeland Security (DHS)...

Trump Administration’s National Science Board Dismissal Sparks Warning From Scientists

More than 2,000 scientists have signed an open letter urging the U.S. Congress to reverse the Trump administrations decision to terminate the entire National Science Board (NSB), warning that the move could weaken Americas...

Science

Trump Administration Releases New UFO Files and Apollo Mission Records

The U.S. Defense Department has released dozens of previously classified UFO-related files following an order from President Donald Trump, sparking renewed debate over unidentified anomalous phenomena (UAP) and government...

China vs. NASA: The New Moon Race and What's at Stake by 2030

The space race is back and this time, its a direct competition between the United States and China for dominance on the lunar surface. NASAs Artemis II mission recently made history when four astronauts flew farther into...

NASA Artemis II: First Crewed Moon Mission Since Apollo Takes Four Astronauts on 10-Day Lunar Journey

NASAs Artemis II mission launched Wednesday, marking humanitys return to crewed lunar exploration for the first time since the Apollo era. Carrying four astronauts aboard the Orion spacecraft, this historic 10-day mission...

NASA's Artemis II Mission: First Crewed Lunar Journey Since Apollo

NASAs Artemis II mission launched Wednesday, marking humanitys return to crewed lunar exploration for the first time since the Apollo era. Carrying four astronauts aboard the Orion spacecraft, this historic 10-day mission...

NASA's Artemis II Crew Arrives in Florida for Historic Moon Mission

The four astronauts chosen for NASAs Artemis II mission have touched down at Kennedy Space Center in Florida, marking the beginning of final launch preparations for the first crewed lunar journey in over 50 years. NASA...

Technology

OpenAI-Microsoft Deal Sets $38 Billion Revenue-Sharing Cap Ahead of Potential IPO

OpenAI and Microsoft have reportedly agreed to place a $38 billion cap on total revenue-sharing payments, according to a report published Monday by The Information. The move is seen as part of OpenAIs broader effort to...

Nintendo Shares Tumble as Weak Forecast and Rising Switch 2 Costs Worry Investors

Nintendo shares plunged on Monday after the Japanese gaming giant posted annual earnings that missed analyst expectations and issued a weaker-than-expected outlook for the current fiscal year. The disappointing forecast...

AI-Driven Inflation Raises U.S. Consumer Prices, Goldman Sachs Says

Artificial intelligence is starting to increase U.S. consumer prices through rising costs in electronics, software, and electricity, according to a new Goldman Sachs report. The investment bank said AI-related inflation...

Judge Delays SEC Settlement With Elon Musk Over Twitter Stock Disclosure Case

A federal judge has declined to immediately approve a proposed $1.5 million settlement between Elon Musk and the U.S. Securities and Exchange Commission (SEC) tied to Musks 2022 Twitter stock purchase disclosures. The...

Broadcom Eyes $35 Billion AI Chip Financing Deal With Apollo and Blackstone

Broadcom Inc. is reportedly in discussions with Apollo Global Management and Blackstone Inc. to secure around $35 billion in financing for its expanding artificial intelligence chip business, according to a Bloomberg...
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