Deutsche Bank Forecasts Profit In Dollar Calls

  • 22 Oct 2001
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Deutsche Bank is recommending clients purchase one-year at-the-money U.S. dollar calls/yen puts to take advantage of low volatilities caused by the Bank of Japan's intervention to create a dollar floor around JPY119 and the belief in a U.S. recovery next year, said Ken Landon, senior currency strategist at Deutsche Bank in Tokyo. "It's a pretty straightforward strategy-a lot of people like that," he added, "anyone who wants to take a directional view would be interested."

Now is a good time to enter the trade, Landon noted, adding "I don't see vols going any lower." At these levels there is good value for a one-year time frame where an investor can take profits at any time during the year by unwinding the position. One-year implied vol was around 10.4% Thursday.

Landon continued that Deutsche Bank's one-year forecast for the currency pairing is that it would head to JPY140. "We're one of the most bullish houses on the street [for dollar strengthening over yen]," Landon added. The factors he attributes to the yen appreciating are a V-shaped recovery in the U.S. next year, assisted by Federal Reserve interest-rate cuts, while Japan's economy will remain weak. "I don't see anything benefiting [Japan's] economy," he continued. Last Thursday spot was at JPY120.85. He declined to comment on the premium for the trade.

  • 22 Oct 2001

All International Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 16 Jan 2017
1 Citi 22,118.13 61 9.00%
2 Barclays 20,987.41 55 8.54%
3 JPMorgan 17,406.75 53 7.08%
4 HSBC 16,333.52 48 6.64%
5 Goldman Sachs 15,454.74 49 6.29%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 17 Jan 2017
1 Commerzbank Group 114.00 1 66.16%
2 CaixaBank 37.05 1 21.50%
3 UniCredit 10.62 1 6.17%
3 BNP Paribas 10.62 1 6.17%
Subtotal 172.30 3 100.00%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 17 Jan 2017
1 SG Corporate & Investment Banking 770.06 2 16.80%
2 Goldman Sachs 656.16 2 14.32%
3 JPMorgan 527.28 4 11.50%
4 Emirates NBD PJSC 408.38 1 8.91%
5 Deutsche Bank 321.53 3 7.01%