May 10, 2017 01:09 am UTC| Research & Analysis
Moodys Investors Service says that its negative outlook for the Korean banking system reflects its assessment that the overall creditworthiness of Korean banks will deteriorate over the next 12-18 months. Moodys outlook...
FxWirePro: Reshuffling of commodity FX space, preferring TRY among EMEA EMFX
May 09, 2017 13:55 pm UTC| Research & Analysis Insights & Views
We have been shifting our portfolio by rotating out of long positions in commodity currencies, preferring commodity importers. We believe risks are skewed for EMEA EM commodity currencies to underperform in the months...

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...