Borrowing costs in U.S. dollars via FX swaps at near 1-year highs

[November 22, 2021]  LONDON (Reuters) - Borrowing costs for U.S. dollars in currency derivatives markets rose to their highest levels in nearly a year on Monday.

Three-month cross-currency swaps for euro-dollar fell to their lowest levels since December 2020, according to Refinitiv data, suggesting greater demand for the greenback/

While some of the this is likely to the typical year-end rush for dollars to meet funding needs, one trader said the euro's decline over the past few days may also be a driver.

(Reporting by Saikat Chatterjee and Sujata Rao)

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