Swiss Franc Antics Threaten Banks’ Grip on Currency Trading
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The grip of the world’s biggest banks on the $5.3-trillion-a-day currency market is under attack.
After the Swiss National Bank stunned the world in January by abandoning its price cap on the franc, some banks sought to reduce their losses by trying to renege on transactions. Dealers including Bank of America Corp., Barclays Plc and Goldman Sachs Group Inc. approached customers about changing some trades, according to people familiar with the discussions.