US investment Bank Goldman Sachs traded euro 12 billion in interest rate and euro-to-dollar swaps in London today, prompting talk that the exceptionally large operation was linked to a projected merger or acquisition, a source close to the market said.
A Goldman Sachs spokesman in London said he could not confirm the operation and could not comment on whether the bank might be involved in any projected merger or acquisition deals.
The source close to the markets said the Goldman Sachs deals were mostlyinterest rate swaps but included some euro-to-dollar forex swaps.
The swaps were carried out in lots of a minimum of euro 500 million between 11 a.m. and noon today. Goldmanwas swapping fixed rate paper for floating rate ones, the source said.
A source at a European investment bank said the euro 12 billion size of the operation was so big that it was mostly likely to be connected with the oil sector.
AFP