Flash crash moves loom in FX markets

Participants concerned by sudden moves in currency markets


Foreign exchange traders across the market spectrum have been stunned by an increase in short-term volatility, which is making it more difficult to find the exit door on positions, exacerbated by the Swiss National Bank's (SNB) decision to remove its EUR/CHF currency floor on January 15.

"Gone are the days where, when a market moved, 20 market-makers would realise it was just a flow and try to take the other side of the trade, putting liquidity in and reducing volatility," reads a client note fr

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