Given the market dislocation, it’s not too surprising that BIS is reporting a fall in volumes in its latest OTC derivatives market activity survey.
Covering the second half of 2008, BIS says that the overall OTC derivatives market recorded a decline for the first time since the bank started compiling the data in 1998. BIS says the notional amounts of all OTC contracts stood at $592 trillion at the end of December 2008, 13.4% lower than the $683.7
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