Spot USD/CNH fixing in HK poised to become derivatives benchmark

The creation of a new offshore spot USD/CNY (HK) fixing in Hong Kong is expected to promote the development of offshore renminbi derivatives in the city. The development is likely to benefit FX options business as well as enable the trading of over-the-counter contracts with longer tenors, say bankers in Hong Kong involved with the offshore renminbi business. Offshore renminbi is frequently referred to as CNH by many traders.

Lawrence Lam, chair of the Treasury Markets Association (TMA) market p