Non-deliverable forwards (NDFs)
RMB-denominated OTC derivatives poised to take off in Hong Kong
The renminbi deliverable forwards market has hit at least $28 million during the first month of trading following an agreement in July between the the PBOC and HKMA that enabled Hong Kong to act as an offshore centre for the Chinese currency.
Market prepares for rising RMB
Swap rates and NDFs show traders expect the Chinese currency to rise after the weekend saw the end of its dollar peg
South Korea moves to limit NDF trading by onshore banks
The South Korean Ministry of Finance and Economics (Mofe) has introduced new regulations aimed at limiting activity in the non-deliverable forwards (NDF) market by onshore banks. The move is aimed at reducing the volatility in the Korean won exchange…