CNH Tracker-A booster shot for the Hong Kong market
By Saikat Chatterjee HONG KONG, May 2 (Reuters) - Latest reforms in the offshore yuan markets will help banks overcome periodic shortages of cash and signals a new pipeline of products in a market that has stagnated in recent quarters. In a series of steps last Thursday, the Hong Kong Monetary Authority, the city's de-facto central bank, removed trading limits and dismantled mandatory reserve requirements for banks trading the offshore yuan. The measures taken were essentially two-pronged in approach: to help investors manage their interest rate exposure on the back of a growing bond market and offer banks more yuan funds to boost their trade settlement business.Even as the yuan hits a series of record highs guided by the People's Bank of China, doubts are rising on how far the currency can go with valuations already near the top end of historic ranges. RECENT STORIES: CNH Tracker-A death knell for the yuan non-deliverable market? Hong Kong creates reference rate for offshore yuan markets Chinese strong talk on yuan reform masks policy quandary More stories about the CNH market Daily onshore yuan reports Daily China money market reports Offshore yuan rate Onshore yuan rate Offshore yuan dealt Onshore yuan on CFETS THOMSON REUTERS SPEED GUIDES
- Exclusive: Secret contract tied NSA and security industry pioneer |
- U.S. aircraft hit by gunfire in South Sudan as conflict worsens
- With Fed out of the way, what's next on Wall Street?
- Analysis: Lost Brazil order raises threat to Boeing fighter jets
- Four men arrested in deadly N.J. shopping mall carjacking