The euro rebounded from 21-month lows, clawing back almost all the ground it had lost overnight after Italian Prime Minister Matteo Renzi conceded defeat in a referendum on plans to reform the country’s constitution and said he would resign.
- Euro Slides as Italy Rejects Constitutional Change – Profit & Loss
- Euro Falls to 21-Month Low Against Dollar After Italy’s ‘No’ Vote, then Pares Losses – Market Watch
China and Taiwan’s currencies both slipped against the US dollar amid a broad rally for the greenback in Asian trading, as US President-elect Donald Trump again criticized Chinese currency and trade policy.
China’s latest efforts to impose stricter control on capital outflows, especially on the yuan, are set to hurt its goals of creating an international currency and expanding the nation’s global influence, analysts say.
Thomson Reuters has partnered with BestX to enable buy-side participants using its FXall and FX Trading platforms to streamline analysis of transaction costs, helping them define, achieve and demonstrate best execution.
CIMB Economics Research sees the new measures announced by the Financial Markets Committee and Bank Negara Malaysia will reduce ringgit speculation, minimise erosion of foreign reserves, and address market concerns over foreign currency risk management.
We don’t have a protectionism story here: we have a floating currencies story.
The US dollar has traded sideways for a couple for weeks now, and the world’s central bankers are holding their breaths: was the post-US-election four per cent rally the end of it, or has a new dollar bull market just begun?
Turkey is taking steps to allow commerce with China, Russia and Iran to be conducted in local currencies, President Tayyip Erdogan said, in the government’s latest effort to shore up the tumbling lira.
The currency lost 67 per cent of its value on the black market last month, falling to 4,587 Bolivars per US dollar – the steepest monthly plunge ever.
But first, a look at the Subversives of the Year.
European financial markets have “so far reacted quite calmly” to Italian voters’ rejection of constitutional reforms and no emergency intervention is needed, the head of the group of 17 eurozone finance ministers said as the euro and bank shares rebounded from morning lows.
US banking regulators must defend tough rules governing Wall Street and resist efforts to dilute regulations that might prevent a future financial crisis, Federal Reserve Governor Daniel Tarullo said.
The Central Bank will reform its daily dollar auction system as part of an attempt to address the weakening kyat, deputy governor U Set Aung told Myanmar’s business community.
Profit & Loss understands that Andrew Brown, global head of foreign exchange, and Alan “Shoulders” Clarke, global FX product manager, are to leave Spanish bank BBVA at the end of the year.
Matt Vickerman has left Sun Trading in Chicago, where he was head of business development, covering the FX and fixed income markets.
Edgewater Markets has hired Felipe Alanís Suárez as its head of electronic solutions, based in Mexico City.
Most emerging Asian currencies pulled back as Italian Prime Minister Matteo Renzi said he would resign after suffering a crushing defeat on constitutional reform, tipping the country into political turmoil and threatening to destabilise its shaky banking system.
The New Zealand dollar wobbled at the start of the new week on the resignation of New Zealand’s Prime Minister Key.
As markets resume trading the British pound to Australian dollar exchange rate is seen sharply high at the 1.71346 level.