North America

Long-languished plans to centrally clear foreign exchange derivatives have been jump-started back to life, claimed dealers who are optimistic that a cleared FX options contract could be available to trade within the coming months and pave the way for further progress in the asset class.

High grade dollar issuance got off to a slow start in November as event risk dominated the minds of borrowers and investors ahead of the US elections.

A shift of momentum in the US presidential race has sent tremors through derivatives markets this week, with equity implied volatility ramping up, credit index spreads widening and the Mexican peso slumping against the dollar.

The FIG primary market has largely remained quiet ahead of the US election on November 8, and some borrowers desiring funding have even sought ways around having to get caught up in its aftermath.

The EMEA loans market has been so far unruffled by next week’s US presidential elections — even if in the US itself deal flow has paused and the consequences of the vote could be far reaching, according to several loans bankers.

National Bank of Canada became the first North American lender to sell a Panda bond on Wednesday, raising Rmb3.5bn ($517m) from a three year note. What stood out, however, was not the deal execution but how the lender managed to convince the regulators that the sale aligns with China’s Belt and Road initiative.

Banks and corporates in the US are increasingly interested in understanding the opportunities in renminbi, but they need to lose their addiction to the US dollar. The catalyst is likely to come from market trailblazers and improved infrastructure.

Four banks have teamed up with law firm Simmons & Simmons to introduce market standard documentation for use in listed and unlisted repackaging transactions, in a move that they hope will ease hedging counterparty concerns for investors and help drive activity in this part of the market.

Equity derivative implied volatility in the US has ramped up over the past week as opinion polls on the result of the election suggest a 'closer call'.

GDS Holdings received a thumping response from investors for its $192.5m Nasdaq IPO, but priced it below the initial range to capture long-only demand and a higher-quality book.

Two Chinese banks and one Taiwanese lender have banded together to supply a $630m leveraged buyout financing to support Carlyle’s acquisition of VXI Global Solutions.

The Depository Trust & Clearing Corporation has named a new head of its Fixed Income Clearing Corporation business.