Foreign exchange

HKMA's Genberg dismisses 'decoupling' theory

The idea that increasing inter-regional trade in Asia could offset the impact of the recessions in the US and Europe - the so-called 'decoupling' theory - is ill-founded, said Hans Genberg, executive director of Hong Kong Monetary Authority (HKMA)…

Dinallo backtracks on regulating CDSs

New York State insurance superintendent Eric Dinallo shelved plans to bring a large slice of the credit default swap (CDS) market under the purview of the New York State Insurance Department (NYSID) during a US congressional committee hearing on November…

S&P: AAA RMBS writedowns will be minimal

AAA rated tranches of US subprime residential mortgage-backed securities (RMBS) will be written down by less than 1%, despite heavy losses on the underlying mortgages, rating agency Standard & Poor's predicts.

BNP launches carry trade alternative

BNP Paribas has launched two new FX indexes, Galaxy Alpha and Alpha plus, which aim to offer an alternative to traditional carry trade strategies, which have underperformed over the past year given extreme volatility in FX and interest rate markets.

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