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United Kingdom

Richard Leong

Non-banks face most risks if repo rates stay high -Fitch

01 Oct 2019

NEW YORK, Oct 1 Hedge funds, mortgage real estate investment trusts, small brokerages and other non-banks are most vulnerable if recent money market volatility results in a protracted increase in funding costs, Fitch Ratings said on Tuesday.

Fed's $200 billion effort holds down repo rate at quarter-end

30 Sep 2019

NEW YORK An extra $200 billion in cash available to the U.S. banking system on Monday thanks to injections by the Federal Reserve kept a lid on short-term borrowing costs at end of the third quarter, preventing a replay of the chaos that hit money markets nearly two weeks ago.

U.S. quarter-end funding costs stay elevated

24 Sep 2019

NEW YORK A key borrowing cost for Wall Street remained elevated on Tuesday near the end of the quarter even after the Federal Reserve injected $30 billion in longer-term cash into the U.S. banking system a week after turmoil in money markets.

U.S. Fed primes cash pump as quarter-end approaches

20 Sep 2019

NEW YORK The Federal Reserve plans to keep pouring tens of billions of dollars a day into the U.S. banking system through early October in a bid to avert another market disruption as the end of the quarter approaches, a time when lending typically diminishes.

U.S. Fed primes cash pump as quarter-end approaches

20 Sep 2019

NEW YORK The Federal Reserve plans to keep pouring tens of billions of dollars a day into the U.S. banking system through early October in a bid to avert another market disruption as the end of the quarter approaches, a time when lending typically diminishes.

Dollar posts weekly gain on hopes for trade, Fed on hold

20 Sep 2019

NEW YORK The U.S. dollar rose against a basket of currencies on Friday, for its first weekly increase in three, prompted by hopes of progress in U.S.-China trade talks and that the Federal Reserve would not lower rates aggressively.

GLOBAL FOREX-Dollar gains on hopes for trade, Fed on hold

20 Sep 2019

* Sterling cools on doubts about Brexit deal * Futures imply traders see one more U.S. rate cut in 2019 * Graphic: World FX rates in 2019 http://tmsnrt.rs/2egbfVh (Updates market action, changes dateline, previous LONDON) By Richard Leong NEW YORK, Sept 20 The U.S. dollar rose against a basket of currencies on Friday, putting it on track for its first weekly increase in three, prompted by hopes of progress in U.S.-China trade talks and that the Federal Reserve would not lower rates aggressively. Sterling retreated from a two-month high versus the greenback after the Irish foreign minister said that London and the European Union were not yet close to a Brexit deal. U.S. and Chinese deputy trade negotiators are set to continue talks that began on Thursday in an effort to lay the groundwork for high-level discussions in early October that will determine whether the world's biggest economies can reach a trade deal. While tariffs and worries about protracted supply-chain disruption have hampered global business activity, the U.S. economy is still faring relatively well, analysts said. "The U.S. economy is clearly doing better than anyone else," said Joseph Trevisani, senior analyst at FX Street in New York. "I'm still in the stronger dollar camp." With housing starts at a 12-year high and factory output rebounding in August, the longest U.S. expansion on record seems to have more legs, he said. At 11:36 a.m. (1536 GMT), an index that tracks the dollar against a basket of six major currencies was up 0.31% at 98.58. It was on course to gain 0.3% on the week. The euro fell 0.34% on the day at $1.1003, while the greenback slipped 0.11% to 107.935 yen. Against a favorable economic backdrop, the Fed lowered key lending rates by a quarter point on Wednesday, but signaled a higher bar to further reductions in borrowing costs. Interest rates futures implied traders saw a 64% chance of another rate cut by year-end, compared with 69% late on Thursday, CME Group's FedWatch program showed. Meanwhile, sterling was briefly the biggest gainer overnight against the dollar after European Commission President Jean-Claude Juncker said late Thursday he thought Brussels could reach agreement with Britain on its departure from the European Union. Sterling's gains faded after Ireland's foreign minister's comments on a Brexit deal, and a Financial Times report that British Prime Minister Boris Johnson had told colleagues he did not expect to be able to reach full "legally operable" deal covering the Irish border at a meeting of EU leaders. The pound was down 0.19% at $1.2498 after touching a two-month high at $1.2582. It reached a four-month high of 87.875 pence per euro before easing to 88.03 pence, up 0.11 on the day. ======================================================== Currency bid prices at 11:34AM (1534 GMT) Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid Previous Change Session Euro/Dollar EUR= $1.1000 $1.1040 -0.36% -4.09% +1.1068 +1.1001 Dollar/Yen JPY= 107.9300 108.0000 -0.06% -2.11% +108.0800 +107.7800 Euro/Yen EURJPY= 118.73 119.27 -0.45% -5.93% +119.3700 +118.7400 Dollar/Swiss CHF= 0.9929 0.9927 +0.02% +1.17% +0.9935 +0.9891 Sterling/Dollar GBP= 1.2492 1.2524 -0.26% -2.08% +1.2581 +1.2462 Dollar/Canadian CAD= 1.3264 1.3260 +0.03% -2.74% +1.3300 +1.3255 Australian/Doll AUD= 0.6769 0.6789 -0.29% -3.97% +0.6809 +0.6770 ar Euro/Swiss EURCHF= 1.0925 1.0960 -0.32% -2.92% +1.0969 +1.0923 Euro/Sterling EURGBP= 0.8805 0.8814 -0.10% -1.99% +0.8845 +0.8788 NZ NZD= 0.6257 0.6301 -0.70% -6.85% +0.6308 +0.6258 Dollar/Dollar Dollar/Norway NOK= 9.0514 8.9783 +0.81% +4.78% +9.0519 +8.9656 Euro/Norway EURNOK= 9.9552 9.9136 +0.42% +0.50% +9.9730 +9.9111 Dollar/Sweden SEK= 9.7199 9.6858 -0.03% +8.44% +9.7272 +9.6612 Euro/Sweden EURSEK= 10.6926 10.6960 -0.03% +4.18% +10.7195 +10.6880 (Additional reporting by Saikat Chatterjee in LONDON; Editing by Bernadette Baum)

Dollar falls as some central banks outside U.S. hold rates steady

19 Sep 2019

NEW YORK The dollar fell against most major currencies on Thursday as some central banks refrained from cutting interest rates after the Federal Reserve's second rate decrease this year, boosting the appeal of their currencies versus the greenback.

Fed pumps more cash as key rate breaks above target

19 Sep 2019

NEW YORK The Federal Reserve injected another $75 billion (£60 billion) into the U.S. banking system on Wednesday, restoring a measure of order after a bout of extreme volatility inside the bank funding market drove the central bank's benchmark interest rate above its targeted range for the first time since the financial crisis. | Video

Fed makes small changes to control policy rate, hints at more to come

19 Sep 2019

NEW YORK/WASHINGTON The Federal Reserve on Wednesday made only minor changes to help it better manage its benchmark interest rate after the U.S. central bank briefly lost control of it earlier in the week.

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