E-Commerce and the Foreign Exchange Market - Have the Promises Been Met?

Abstract

In this speech, Paul Fisher, Head of the Bank's Foreign Exchange Division and Chair of the Foreign Exchange Joint Standing Committee, surveys the continuing impact of technology on trading in the foreign exchange market. Criteria are suggested for evaluating the impact of new developments on the effectiveness and efficiency of the market, and some of the benefits and risks are assessed against these criteria. The speech concludes by noting that the codes of conduct which govern foreign exchange markets around the world will need to keep pace with the issues arising from the use of new technology.