Banks on Alert! Speculators ‘Attacking Saudi Riyal’

SputnikNews.com
21.01.2016

The Saudi currency is under strong pressure due to falling oil prices. The Saudi banks are forced to suspend derivatives trading to decrease pressure on the riyal, German newspaper Deutsche Wirtschafts Nachrichten (DWN) reported.

Saudi Arabia’s central bank warned the country’s banks against increasing speculations on the devaluation of the national currency.

>Several bankers said on Wednesday they were told not to conduct derivatives trading to minimize the pressure on the riyal, the newspaper reported, citing Reuters.

According to the news agency, the move proved to be successful in supporting the national currency. A key currency indicator in Saudi Arabia — riyal forward points — decreased to 690 points on Wednesday from a record 1,020 points last week.

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This entry was posted on Thursday, January 21st, 2016 at 12:54 pm and is filed under Economics, World Politics. You can follow any responses to this entry through the RSS 2.0 feed.