Chinese volatility picking up
NEWS
The USD/RMB was RMB8.0096 on June 5, compared with June 2's RMB8.0230. This was a shift of 0.16%, the biggest single move since the floating peg was established.
The shift has led to speculation that there will be a move from the government enabling the currency to have bigger daily moves.
Simon Derrick, head of currency research at Bank of New York, said: "The most likely action must be a move towards allowing greater flexibility in the daily movements of USD/RMB." He added this could include a
More on Trading
Forward thinking: Banks adapt P&L mark-out tools for FX forwards
Dealers modify market impact measurement to get better handle on profitability – and client value
BNP Paribas to launch e-FX pricing engine in Singapore
BNPP is latest bank to set up Singapore pricing engine; readies Cortex Live launch with AI and data tools
JP Morgan: beating lower margins, flat volumes and the competition
Foresees collaboration with clients and technology providers on FX tech infrastructure, and working with regional players
FX market growing, but more risky – BIS review
Reduced reliance on PvP and heightened fragmentation threaten market resilience
BidFX eyes expansion in execution tools and algos
Buy-side focus on FX exposure will drive development
Call for clarity on last look rejections
Asset managers say holding periods “far in excess” of what is necessary for risk checks
Buy-side traders cannot be passive with algo execution
Traders need to be proactive and ensure in-depth monitoring throughout life of an order, panellists say
FXall bolsters frontier liquidity with new partnership
The alliance will extend liquidity to several currencies in Africa and Asia
