Foreign Exchange
SBP clashes with government on exchange rate drop
Pakistan’s finance minister expresses “deep concern” over sudden drop in currency
MAS’s Menon plays down record profit figure
Record-breaking profit due to strong positive currency translation effects and higher investment gains
Malaysian government escalates investigation on historic forex losses
Commission will investigate heavy forex losses by the Malaysian central bank in the early 1990s
ECB buys €500 million worth of renminbi for forex reserves
Belgian central bank also announces purchase of Chinese currency, plus South Korean won
Qatari peg under pressure despite reassurances
Riyal drops below official level of the peg amid concerns over Qatar’s diplomatic isolation
Thai central bank sets out timeline for forex reforms
Some regulations “obsolete”, Thai governor says
Central banks build expertise in move to riskier reserve tranches
Growing popularity of reserves tranching is stretching central banks’ capabilities, new report finds
Venezuela’s central bank devalues bolivar as crisis continues
Bolivar devalued 64% in latest currency auction in an attempt to stem effects of financial crisis
Surprise RMB strengthening prompts unwinds
"A lot of long [US$] positions were unsustainable and had to be re-evaluated," says forex structuring head
ECB and Riksbank present united front on reserves threat
Proposals could leave Sweden vulnerable to a crisis, institutions warn
Central banks stress commitment as FX Global Code launches
Central banks state they will comply, and expect counterparties to do the same
Debelle: central banks can benefit from lack of covered interest parity
Increase in the “basis” or deviation from CIP is not always a sign of trouble, RBA deputy says
Norges Bank reserves swell, thanks to equity returns
Fixed-income portfolio returns essentially zero in Q1, but equity returns are higher
IMF’s Werner: central banks need better understanding of interventions
Central banks in Latin America have employed a host of unconventional market interventions
Book notes: Gaining Currency, by Eswar Prasad
A detailed study into the renminbi’s journey to becoming the reserve currency
Singapore to work with China on capital market development, MAS’s Loh says
“Wider suite” of risk management tools needed to stem risks rising from capital market liberalisation
Bahamas further relaxes capital controls
Specific sectors of the economy will be able to obtain foreign exchange from banks both at home and abroad
Sterling shorts could see sharp unwinding on Brexit day
As the start of the negotiation process between the UK and EU approaches, an already weak sterling faces more tests
SNB annual report sheds light on equity investing strategy
Central bank details approach to investing around 20% of its foreign exchange reserves in equities
BoE’s Jackson: need to intervene on market function still an open question
Rebecca Jackson discusses flash events, market structure, and whether there is a case for further intervention
Iceland lifts capital controls
Central bank will retain controls on inflows to resist carry trade
Barbadian finance minister thanks Worrell, despite sacking him
Sinckler says government will “eliminate reliance" on central bank financing
Nigeria’s central bank rolling back forex restrictions
Allocation rules scrapped under new regime; forex dealers must open airport outlets to aid travellers
Malaysian government opens case on historic forex losses
Government to investigate losses from profit-driven reserves policy