TOPIC

Foreign exchange market

Jerome Powell, chairman of the US Federal Reserve, announced a cut to its benchmark interest rate on Wednesday. Photo: Bloomberg

Dump or buy more? China’s holding of US debt in spotlight after Fed’s rate cut

Continued diversification of reserve portfolio may be in order, but into what, and at what speed, are pressing questions.

Continued diversification of reserve portfolio may be in order, but into what, and at what speed, are pressing questions

8

China’s stealthy yuan support ebbs, denting hot hedge fund trade

Explainer | What 3 changes has China’s central bank made amid monetary policy reshuffle?

China’s yuan to continue to gain, but outlook hinges on Fed rate cuts: analysts

China’s yuan gained 1.9 per cent against the US dollar in August, which represented the largest monthly change since November.

4
An employee arranges bundles of US dollar banknotes and Chinese yuan. Photo: Bloomberg

Can the yuan really become a truly international currency that everyone wants?

China’s yuan has become more acceptable to foreign countries, but authorities still maintain tight control of fund flows under its capital account.

videocam
45

Interest rates, US election adding to yuan volatility: Goldman

Moves by the US Federal Reserve, as well as November’s US presidential election, would discourage selling the yuan, Goldman Sachs said on Friday.

4
Advertisement
Advertisement

Opinion | With US rate cuts on the horizon, the glass looks half full again

Lower US rates, helped by Japan’s normalising policy, would boost liquidity and ease dollar pressure, with better days ahead for emerging markets.

videocam
US Federal Reserve Board chairman Jerome Powell kept interest rates unchanged in an announcement on July 31, but the move set up expectations of increases later this year. Photo: AP

China’s yuan fitting the bill as currency wins record share of global payments

China’s yuan has won a record share in global settlements, an indication the country’s efforts to internationalise its currency are continuing to bear fruit.

38

Chinese stocks upgraded as state support seen tempering bear-market fallout: BCA

Chinese stocks could fall less than their global peers in a sell-off, as recent technical breakdown puts equities at risk of further declines, BCA Research says.

videocam

As Black Monday 2.0 sweeps Asia, China’s yuan surges with US rate cuts looming

Onshore yuan rallied to a high of 7.1150 per US dollar during morning trading, the strongest level since January 2.

6
A dealer walks next to monitors showing the foreign exchange rate between the Japanese yen and US dollar in Tokyo. Photo: EPA-EFE

Macroscope | Second Trump presidency would pose little threat to King Dollar

While Donald Trump returning as president poses political risks, the US dollar is more insulated against his policies than many might think.

videocam
5
Former US president and 2024 Republican presidential candidate Donald Trump speaks at a campaign rally at the New Holland Arena in Harrisburg, Pennsylvania, on July 31. Photo: AFP

Xiaomi, Vivo share top spot in India’s smartphone market in second quarter

Chinese smartphone maker Xiaomi is back on top in India after losing its crown in the world’s second-largest handset market 18 months ago, but has to share the leaderboard with rival Vivo.

With US Fed rates staying in stratosphere, the pressure’s on for China’s yuan

The Bank for International Settlements has praised China and other developing economies in managing their monetary policy, but cautioned pressure will remain high as US Fed rates remain unchanged.

43

China’s central bank puts the yuan’s exchange-rate swings in crosshairs

A stable exchange rate plays a key role in China’s position as a major importer and exporter, but the yuan has come under heavy pressure from the US dollar.

8
The People’s Bank of China wants to ensure that the yuan does not see excessive fluctuations. Photo: Shutterstock

Macroscope | US is stuck in a vicious cycle that could spell crises elsewhere

No state can withdraw from globalisation on its own terms, and the world cannot have one power in effect running monetary policy on behalf of everyone else.

11
A man walks by a screen showing the yen recovering against the dollar amid signs of intervention by the Japanese authorities in Tokyo on May 2. Photo: Reuters

Yuan pressure, forex volatility loom if Trump re-elected: analysts

China’s yuan has faced depreciation pressure in recent weeks, largely because of the strength of the US dollar, with the result of November’s presidential election adding further uncertainty.

China’s yuan seeks to challenge the US dollar. But traders don’t want to use it

Latest Cross-Border Yuan Insight report suggests that Beijing’s efforts to challenge US dollar hegemony still face considerable hurdles, from exchange-rate fluctuations to impediments in cross-border capital flows.

64
Advertisement
Advertisement

Six arrested in cryptocurrency money-laundering scheme in northeast China

Police in China’s northeastern Jilin province made the arrests in connection with a scheme that sent US$296 million to South Korea.

videocam
China has recently stepped up efforts to combat cryptocurrency-related money laundering. Photo: Shutterstock

In Asia, US dollar’s growing strength fuels concern over currency stability

Analysts say China’s central bank, with an eye on the yuan’s stability, could let it weaken gradually, but such a move ‘could backfire to some degree’.

26

China should bail on US bonds, scholar says, as tensions and anxieties mount

A highly placed scholar is encouraging China to offload more of its holdings in Treasuries as overseas assets become a riskier proposition thanks to erratic geopolitical shifts.

106

Explainer | Why has the Japanese yen been so weak? There are several factors

The yen has been steadily sliding for more than three years and has lost more than one-third of its value since the start of 2021.

videocam
A passerby looks at a screen showing the exchange rate between the US dollar and the Japanese yen in Tokyo on Monday. The Japanese yen marked a sharp decline to the 160 yen level per US dollar, its lowest since April 1990. Photo: EPA-EFE

The View | Falling yen is great for 2 sectors in Japan

The big story in global foreign exchange markets right now is the continued slide in the yen, to a fresh 34-year low. As tourists in Japan buy luxury goods at a significant discount, retail rents and hotel rates are also up.

videocam
Visitors look out from Shibuya Sky, the observation deck atop Shibuya Scramble Square, in Tokyo, in June 2021. The falling yen has also added to the appeal of Japanese commercial property. Photo: Reuters

Land of the falling yen may tempt bargain-hunting Hongkongers to spend in Japan

Warning over effect on Hong Kong as yen hits 34-year low of 156.82 against US dollar after Bank of Japan held interest rates close to zero.

AI, yen are among hotspots to watch in Asia this earnings season

Asia looks ready to turn a corner in quarterly earnings growth this results season. Here are five key themes to watch as the report cards roll in over the next few weeks.

China’s central bank ‘cautious’ in bond trade, even with mandate from Xi

Even after President Xi Jinping has asked for China’s central bank to trade government bonds, the outcome is likely to remain limited as the bank does not want to trigger negative outcomes for inflation and exchange rates.

videocam
The People’s Bank of China, the country’s central bank, is expected to take a modest approach to trading in the government bond market. Photo: AP

China, EU financial regulators embark on long voyage to find common ground

The China-EU Working Group on Financial Cooperation has met for the first time, and analysts say that while such meetings between economic heavyweights are in the world’s best interests, progress may be slow to come.

videocam
The first dialogue under the China-EU Working Group on Financial Cooperation took place this week. Photo: EPA-EFE

Japan’s central bank hikes rates for first time since 2007

The move will make loans more costly for consumers and businesses, but banks will be able to earn more money from lending.

Malaysia ringgit set for strong rebound to 4.5 by year-end, minister Amir says

Second Finance Minister Amir Hamzah Azizan’s forecast comes on the back of Malaysia’s stronger economic outlook and benign inflation.

4
Advertisement
Advertisement
Help preserve 120 years of quality journalism.
SUPPORT NOW
Foreign exchange market
The global foreign exchange (forex) market has ballooned in recent decades as more and more economies liberalise their capital accounts.
last updated:
9 September, 2024
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement