Derivs - Interest Rate

To position for a potential further steepening of the Hungarian interest rate swap curve on the back of further monetary policy easing, Credit Suisse is pitching 2s5s IRS steepeners.

Benchmark manipulation concerning Libor, Euribor and Tibor has increased the awareness of the role that benchmarks play in the wholesale financial markets and the wider economy.

Bank of America Merrill Lynch has hired Alex Tan as a managing director and head of Indonesian and Malaysian rates trading in Singapore.

Japan and Australia will become the two largest central clearing markets in the Asia Pacific region when client clearing rules are implemented there sometime in early 2014, according to speakers at the Futures and Options World Derivatives World Asia conference in Hong Kong today.

Futures dealers, traders and exchanges will benefit from increased volumes as the industry continues forward with the futurization of the swaps market, claimed speakers at the Futures and Options World Derivatives World conference in Hong Kong today.

Peter Scialla, head of U.S. equity volatility trading, and his brother Paul Scialla, co-head of U.S. interest rate products cash trading at Goldman Sachs, have left the firm.

Aviva Investors has cleared its first over-the-counter interest rate swap, making it the first U.K.-based asset manager to do so.

The Australian Securities & Investment Commission has opened up trade reporting of over-the-counter derivatives to foreign firms looking to operate trade repositories.

For market participants who expect euro rate volatility to remain suppressed, JPMorgan is recommending a long-gamma bias strategy in buying 3mx5y straddles versus selling 3mx2y straddles.

The Singapore Exchange will likely share its clearing technology and expertise with the Korea Exchange, following the signing of a memorandum of understanding to collaborate on the development of over-the-counter derivative clearing.

Uptake of client clearing of over-the-counter derivatives in the Asia region will be much slower than Europe and the U.S. due to lack of certainty over when mandatory client clearing will start in each region.

Regulatory proposals surrounding margin requirements for non-cleared derivatives may increase risk, hamper economic growth and result in the implementation of unsuitable hedges by market participants.