Traders Questioned as NY Probe of Automated FX Heats up – Reuters New York’s banking regulator has questioned dozens of traders and executives at Credit Suisse Group AG, Barclays, Deutsche Bank and other banks about whether their electronic foreign exchange trading platforms were rigged.
Yuan Picks Up Pace as Global Currency – Wall Street Journal (subscription) Devaluation, market volatility sparked a surge in use of China’s currency in the last week of August.
Senior China Official Proposes Punitive FX Restrictions – Forbes Yi Gang, writing in China Finance, has just proposed that China impose a Tobin tax, specifically, a punitive levy on forex trades and “handling” fees to discourage currency trading.
Wake Up to UK Exit Risks, Banks Tell Investors as Polls Shift – Bloomberg Investors are being urged to tune into the looming political battle over the U.K.’s membership of the European Union amid signs it will prove closer than most now think.
Norway Seen Tapping Its Wealth Fund to Ward Off Oil Risks – Bloomberg The nation could as soon as next year start making withdrawals from its massive $830 billion sovereign wealth fund, which it has built over the past two decades as a nest egg for “future generations.”
Nigeria’s Emefiele to Reconsider FX Controls as Demand Drops – Bloomberg Nigeria’s central bank Governor Godwin Emefiele said he will consider easing restrictions on currency trading in Africa’s biggest oil producer if demand for foreign exchange drops further.
Brazil’s Currency Tests Central Bank’s Patience – Reuters The Brazilian real’s dramatic drop has left the central bank with two options: jack up rates aggressively in one startling move, or tolerate higher inflation for longer.
Three Eurozone Central Banks to Try Reverse Auctions in ECB”s QE Program – Nasdaq Three central banks that use the euro will experiment this month with reverse auctions in the European Central Bank’s large-scale bond-buying program, the ECB said Monday.