Major currencies, US elections updates on 5 brokers
The highly charged US Presidential Elections sees two very different candidates facing each other, Major currencies with markets having very different views about them. We have already seen currencies move in reaction to the debates between Donald Trump and Hillary Clinton.
And now, comes the real thing. On November 8th, Americans go to the polls and the first results are released at 23:00 GMT, a very illiquid hour of the day, around the same hour that we had the pound flash crash. So, brokers are getting ready.
This article will be updated as further data comes in Major currencies:
- ETX Capital: This broker has not announced margin changes quite yet, but they did announce a big data-powered election new sentiment tool.
- Forex.com: The broker is considering margin changes: “The Company noted in the announcement that in anticipation of the vote on November 8, markets may become increasingly volatile and therefore there may be some temporary changes to the clients’ accounts. FOREX.com further explained that these changes may include, but are not limited to, updates to margin requirements in the days leading up to and after the vote.”
- IG: The broker has already raised margins for MXN, BRL, ZAR and KRW. On Friday, November 4th at 14:00 GMT, just before the NFP, they will raise margin requirements to 1% on major currencies: USD, JPY, EUR and also CAD.
- Saxo: Margins on the “Trump-trade” currencies will be hiked sharply: MXN to 15% and RUB to 10%. Leading currencies will see a hike in 2-3%.
- Swissquote: The broker is preparing tools for traders: “Given their strong sensitivity to changes in the political outlook, Swissquote has created different US election forex baskets which feature several Major currencies pairs that are increasingly correlated to poll results.