FX Hedging Strategy Series

FxWirePro: Hedge TRY uncertainty against dollar via 3 way straddle versus call on stable IVs

Jul 12, 2016 13:34 pm UTC| Research & Analysis Insights & Views

From last couple weeks, weve been observing a sight weakness in this pair despite the major trend being bullish. Elsewhere, in OTC FX market, the implied volatility of USDTRY ATM contracts with 1-2m tenors are quite at...

FxWirePro: Turkish ministry hints at reduced export prospects despite Russian likely uplift of sanctions

Jul 12, 2016 13:19 pm UTC| Economy Insights & Views

The latest Economy Ministry survey shows that export prospects are plummeting after having rebounded over the recent quarters: The export forecasting index for Q3 2016 was lower than the corresponding index for...

FX Hedging Strategy Series

FxWirePro: Time for “Diagonal Credit Call Spread” to tackle gold price swings capitalizing on OTC indications

Jul 12, 2016 13:04 pm UTC| Research & Analysis Insights & Views

Prices of the yellow metal are up nearly 15% so far this year as investors seek safe havens in the face of mounting instability in other financial markets Technically, as we were discussing in our recent write up on...

Australia's business sector reports solid improvement in June, makes RBA August meet a close call

Jul 12, 2016 10:41 am UTC| Insights & Views Economy Central Banks

NABs closely-watched business survey for June tested the sentiment of local firms amidst the uncertainty of the federal election as well as the political unease in Europe and consequent market turbulence. The NAB business...

FX Hedging Strategy Series

FxWirePro: Is Norges bank understating Norwegian inflation? Hedge with EUR/NOK futures for further upside risks

Jul 12, 2016 09:41 am UTC| Insights & Views

Several central banks have been visibly misplaced their inflation targets for months in times of zero interest rates - to the downside that is. The only central bank that manages to miss it on the other side is Norges...

FX Hedging Strategy Series

FxWirePro: SEK counts on cushion from inflation after losses caused by Brexit - Hedge Scandinavian currency’s potential downside risks

Jul 12, 2016 07:49 am UTC| Research & Analysis Insights & Views

Swedish Krona has been under pressure since the Brexit, EURSEK has gained from the lows of 9.2474 levels to the current 9.4776 levels (almost 2.5% within 8-10 days of the outcome of Brexit). However, todays inflation...

FX Hedging Strategy Series

FxWirePro: Positive traction in USD/JPY hedging sentiments for upside risks, “diagonal call spreads” using prevailing upswings

Jul 12, 2016 07:08 am UTC| Insights & Views

Before we begin, lets just have a glance on OTC market positioning for hedging the uncertainty in USDJPY. ATM IVs for next 1-2 months contracts reasonably higher at around 13-14% ahead of FOMC speeches and this months...