TOPIC

Currencies

Currencies
Currency market action focused on developments with the Chinese yuan and the Hong Kong dollar.
last updated:
9 September, 2024
Guards stand in front of the headquarters of the People’s Bank of China in Beijing on September 30, 2022. Photo: Reuters
Bonds

China central bank issues US$8.2 billion in bills in Hong Kong to stabilise yuan

Move is the latest in a series by China’s central bank that support Hong Kong’s status as a global hub for offshore yuan business.

Banking & finance

Trump tariffs push gold prices to record high as investors seek safe haven

Yuan

Opinion | Trump’s digital dollar ban opens the door for China’s yuan

videocam
Brics

Opinion | Trump’s America will be forced to grapple with a rising Brics

Brics has become an alternative power base outside the reach of the US and its allies, and a rising counterweight to US influence globally.

videocam
4
Russian President Vladimir Putin (right) welcomes President Xi Jinping at the Brics Summit in Kazan, Russia, on October 23, 2024. Photo: dpa
Electric & new energy vehicles

BYD resorts to forex trading strategy to counter yuan’s volatility

The world’s largest EV maker is aiming to protect its growing global operations from yuan volatility amid rising trade tensions.

Hong Kong Monetary Authority (HKMA)

Hong Kong’s Exchange Fund reports fifth-best return despite fourth-quarter loss

The fund’s return fell 3 per cent in 2024 to HK$219 billion (US$28 billion) due mainly to a loss of HK$20.1 billion in the fourth quarter.

Advertisement
Advertisement
Advertisement
Banking & finance

Standard Chartered banks on yuan assets amid US-China tensions

The lender has already seen higher demand for foreign-exchange management and hedging, and the need will only grow, an executive says.

An exterior view of a Standard Chartered branch in Exchange Square in Central. Photo: Jonathan Wong
Hong Kong economy

Hong Kong’s Paul Chan defends city’s currency peg to US dollar in Davos

Finance chief says important to offer stability for the business environment, as volatility expected in capital markets during Trump presidency.

videocam
5
US-China relations

Trump’s America first trade policy: US-China 2020 deal is again under scrutiny

Nomura analysts say Trump’s ‘rather hawkish’ memo on China raises concerns that Beijing will be forced to comply with original trade terms that it failed to meet.

8
Yuan

Chinese yuan surges after Trump goes easy on China in inaugural address

The Chinese currency jumped against the US dollar as trade war worries receded, but some fear the gains may be ‘short-lived’.

The Chinese yuan surged against the US dollar on Monday following US President Donald Trump’s inaugural address, which struck a softer-than-expected tone on China. Photo: EPA
Hong Kong economy

Opinion | Hong Kong’s dollar peg is an important bulwark against volatility

Scrapping it would shake confidence, jeopardise reliability and introduce currency volatility, one of the most significant risks in investment.

videocam
General view of Hong Kong, from the Hong Kong Monetary Authority (HKMA) headquarters at the International Finance Centre in Central on October 9. Photo: May Tse
Yuan

China’s yuan on the rise in oil trade, but petrodollar here to stay: report

Helped by digital yuan and advancements in financial tech, more yuan-backed transactions are taking place in crude settlement.

United States

Opinion | Trump’s plans could trigger liquidity crises across Europe and Asia

Inflationary pressure and a growing deficit would turn the US into a liquidity-sucking force.

videocam
5
Yuan

To boost yuan, China’s central bank allows firms to borrow more foreign debt

For companies that have reached the upper limit of overseas financing, a relaxation may be welcome, but the move’s effectiveness remains unclear as rate spread with US dollar widens.

China’s yuan is dropping to lows unseen in several years against the US dollar. Photo: Reuters
Banking & finance

Hong Kong’s US-dollar peg gets emphatic defence from HKMA CEO

Speculation about ending the peg reflects ‘misconceptions due to a lack of understanding’, says head of de facto central bank.

The Hong Kong dollar has been pegged to the US dollar since 1983. Photo: Shutterstock
Yuan

My Take | Beijing to fiercely defend yuan exchange rate in 2025 to avoid a repeat of 2015

The economic and political costs of a weakened yuan far outweigh the possible benefits China could gain from boosting exports.

4
Yuan

China’s central bank rhetoric on yuan stability takes aim at depreciation risks

An exchange rate of 7.6 to the US dollar by the end of 2025 could be on the cards, analysts say, as Donald Trump’s impending policies may further weaken the battered yuan.

5
Advertisement
Advertisement
Advertisement
Banking & finance

China hits record panda bond issuance in 2024, with analysts bullish for 2025

With more yuan-denominated panda bonds issued last year than any other, analysts expect even bigger numbers in 2025.

The total issuance of China’s panda bonds in 2024 was the highest in any single year on record. Photo: Reuters
United States

Opinion | Up in the air whether US economic arrows will hit the mark

If the Trump 2.0 team is as uncoordinated as Trump 1.0, we will see arrows flying everywhere.

videocam
5
Yuan

China’s battered offshore yuan hits 2-year low against US dollar

And China’s ‘moderately loose’ monetary policy could further widen interest-rate differentials, straining the yuan more, analyst predicts.

9
United States

Opinion | Trump’s threats won’t hold back Brics push to de-dollarise

US dominance is pervasive but not infallible, and a divided Brics can still find common ground in the pursuit of a multipolar global order.

7
Illustration: Craig Stephens
Yuan

China’s record dividend payout puts yuan under pressure as US-China tensions simmer

Interim dividends by Hong Kong-listed Chinese firms are set to reach US$12.9 billion in the first quarter, an all-time high for the period.

videocam
The dividend bonanza is adding pressure on the Chinese yuan already weighed by a resurgent dollar and the prospect of growing US-China tensions. Photo: Costfoto/NurPhoto via Getty Images
United States

The View | Why world should agree to hand nominal leadership to the US

The US simply cannot afford to sustain its dominance so there’s no real danger, but pandering to Trump’s vanity could have its rewards.

videocam
6
South Korea martial law 2024

Yoon’s ‘crazy’ actions rattle South Korea’s currency and economy

Experts say political polarisation and deepening post-martial law crisis could hold back investment in the country.

videocam
The Philippines

‘Erasing history’?: Marcos Jnr accused of political bias over new banknotes

A critic of Ferdinand Marcos Jnr accuses him of attempting to reshape the country’s history by removing the Aquinos from the 500-peso notes.

Current 500 Philippine-peso banknotes featuring the late opposition leader Benigno Aquino Jnr and his wife, former president Corazon Aquino, and the new notes featuring the Visayan spotted deer on the front. Photo: Jeoffrey Maitem
Yuan

US Fed’s hawkish rate-cut forecast slams China’s yuan

China’s currency, hammered since Trump’s re-election, has depreciated further against the US dollar, despite the yuan’s share among global payments rising.

12
The Chinese yuan’s latest decline was driven by the US Fed’s fresh projection of only two quarter-point rate cuts in 2025. Photo: Reuters
Japan

The View | Japan’s economic prospects a big theme in Asian real estate

The most popular sectors in Japan’s stock market are those benefiting from domestic demand-driven growth, such as property and retail.

videocam
Yuan

China urged to anchor yuan to non-US dollar currencies to empower domestic tools

China Finance 40 Forum think tank suggests temporarily anchoring the yuan to a basket of currencies, particularly the euro.

4
Advertisement
Advertisement
Advertisement
Help preserve 120 years of quality journalism.
SUPPORT NOW
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
loading