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31 Oct 2013
Flash: Why has FX volatility been so painfully slow? - BMO Capital Markets
FXstreet.com (Barcelona) - Stephen Gallo, European Head of Currency Strategy at BMO Capital Markets notes that FX market turnover today and month-to-date in October has been painfully low.
Key Quotes
“We highlight as many as four factors which are currently suppressing market volatility and positioning.”
“Uncertainty over the Fed’s ‘no taper’ in September and a possible messy exit in the future, regulatory hurdles on both sides of the Atlantic, the political impasse and fiscal crisis in the US, and the uncompleted cross-border investigations into FX rate manipulation around the fixings.”
“None of these factors will, we believe, dissipate quickly.”
Key Quotes
“We highlight as many as four factors which are currently suppressing market volatility and positioning.”
“Uncertainty over the Fed’s ‘no taper’ in September and a possible messy exit in the future, regulatory hurdles on both sides of the Atlantic, the political impasse and fiscal crisis in the US, and the uncompleted cross-border investigations into FX rate manipulation around the fixings.”
“None of these factors will, we believe, dissipate quickly.”