Derivs - Credit

UBS is delaying adding interest rates to its planned fixed income, commodities and currency electronic trading platform because of lack of clarity between the U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission on whether brokers will have the same access to swap execution facilities as swap dealers.

Hedge funds have been selling credit default swaps on Ireland and Portugal and buying CDS on Spain and Italy today in order to take advantage of compression between the names.

End users are refraining from entering topside options on the euro/Swiss franc this week, despite technical factors supporting the trade in addition to comments from a Swiss government official on Monday suggesting a higher re-peg of the currency around CHF1.35-1.40.

Lucas Nowak, a sterling and euro credit trader at BNP Paribas in London, has left the firm.

Markus Ferber, MEP and member of the European Parliament's Economic and Monetary Affairs Committee, has published a long-awaited draft legislative report on the Markets in Financial Instruments Directive.

Buyside firms are hesitant to buy municipal credit default swaps, despite new rolls being standardized to act like sovereign and corporate CDS in the event of a restructuring.

David Rosa, managing director and head of credit trading and structuring, Asia Pacific at Citigroup in Hong Kong, is leaving the firm.

Tail risk funds, credit valuation adjustment desks and loan desks are buying one- and two-month payer spreads on the Markit investment grade credit default swap index.

Philip Ha, a secondary collateralized loan obligation and collateralized debt obligation trader at Goldman Sachs in New York, and Kelly Maier, a v.p. in high yield credit trading in London, have left the firm.

Standard & Poor’s Indices and the International Swaps and Derivatives Association have launched today two credit default swap indices that track the finance sectors in the U.S. and Europe.

David Chan, managing director, fixed income, currency, commodities and head of fx trading in Asia at Goldman Sachs in Hong Kong, left the firm late last week, according to market officials.

Global regulators are likely to meet clearing requirements by year end for interest-rate swaps and credit derivatives, but are on track to miss the deadline for measures governing central clearing of fx derivatives, according to experts.