China Sets Stage With New Yuan-Clearing Process

From Wall Street Journal:

As the U.S. and European Union move toward having central counterparties clear over-the-counter derivative products, China is making similar changes to its foreign-exchange spot market, a move that could lead to the development of more-complex financial markets.

China has been slow to develop derivatives markets, partly because of its experience with bond futures in the mid-1990s, when the market nearly collapsed as one player maneuvered to salvage a losing position.

Beijing’s subsequent wariness of any type of speculation has left financial derivatives, key tools for companies trying to manage their foreign-exchange and credit risks, limited in scope and liquidity.

CDT EBOOKS

Subscribe to CDT

SUPPORT CDT

Browsers Unbounded by Lantern

Now, you can combat internet censorship in a new way: by toggling the switch below while browsing China Digital Times, you can provide a secure "bridge" for people who want to freely access information. This open-source project is powered by Lantern, know more about this project.

Google Ads 1

Giving Assistant

Google Ads 2

Anti-censorship Tools

Life Without Walls

Click on the image to download Firefly for circumvention

Open popup
X

Welcome back!

CDT is a non-profit media site, and we need your support. Your contribution will help us provide more translations, breaking news, and other content you love.