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  • Not for the first time, Merrill Lynch is making a push into forex. While the competitors sit back and wait for it to fail, Merrill insists that it will become a top-ranking firm. Katie Astbury reports.
  • After Mexico came to market successfully with its collective action clauses (CACs), most observers reckoned that the IMF's plans for a sovereign debt restructuring mechanism (SDRM) would not be taken any further. The US Treasury in general, and undersecretary for international affairs John Taylor specifically, was known to be a zealous proponent of CACs, and now that the market had managed to adopt them there was no reason to threaten it with SDRM.
  • In a period when panics have outweighed optimism among investors, the Sars epidemic is just the latest in a series of shocks that have cast doubt on Asian companies’ ADR prospects. • Chris Cockerill reports
  • Never let it be said that communists are out of touch with market reality - North Korea, sensing an opportunity to finance itself is to issue its first bond. Ruling party daily Rodong Sinmun says the bond issue "is an important measure to raise funds" to "crush US imperialists", a pitch that is sure to play well with investors.
  • One key clause in Uruguay's proposed collective action clauses closes a loophole that Mexico left open in its own bonds: the question of whether the issuer could use exit consents on the payment terms of bonds with CACs. Exit consents, even on non-payment terms of bonds, are generally considered coercive and rather bad manners, even if a necessary evil for countries seeking to restructure their bonds.
  • Who says economists are dull? Three of Wall Street's finest, and most bearish, took part in an early-morning debate about the impact of the Iraq war on the US economy at the Council for Foreign Relations in New York last month. At times it was like stand-up comedy, with Morgan Stanley chief economist Stephen Roach as the main act.
  • When e-enthusiasm cooled, swap trading platforms hadn't got far. Now, though, old ideas are being revived and new ones mooted. ? Tom Marshall reports
  • Source: www.breakingviews.com is Europe's leading financial commentary service.
  • How do you entice a highly rated, well-respected and conservative issuer to use a product they've never used before? You offer them a whole new investor base willing to buy a security that bags the issuer savings of 40 basis points over Libor. That's what Wells Fargo managed last month when it issued its first convertible in at least 25 years.
  • The aftermath of war in Iraq may delay a few project finance deals in the Middle East but the market is in good health. Development diversification will spur large projects. Sponsors, however, may have to accept more costly financing.
  • Long Yongtu, China's former vice-minister at the finance and economy ministry and the country's chief negotiator for its entry into the WTO, might want to forget his performance at Credit Suisse First Boston's recent investment conference in Hong Kong. It could haunt him for a long time to come.
  • If you listen to the biggest foreign exchange banks, the smaller banks are on the brink of forex oblivion. They reckon any bank with a market share of less than 3% might as well give up now. And luckily enough, most of those big firms have shiny forex outsourcing agreements that the little chaps can just step right up to and sign as soon as they do decide that they just can't compete, bless them.