Chi Business: Push Us Dollar / Offshore RMB Futures Option This Year.

P, the world's most diversified derivative market, has recently launched the "offshore renminbi market (CNH)" report in Chicago, which is currently evaluating whether the US dollar / offshore RMB (USD/CNH) futures option will be launched in 2014, CME said.

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< p > the report points out that as the underlying a href= "http://www.91se91.com/news/index_c.asp" > the spot market "/a" is growing, it is expected that the derivative insurance products for customers to manage their RMB risks will surge, especially the offshore RMB term liquidity and popularity as a risk management tool has increased. Despite the liquidity imbalance, traders can still get liquidity of about 3 billion to 5 billion US dollars.

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< p > the report indicates that the rapid rise of China's RMB offshore trade in Hongkong represents the significant development of RMB internationalization.

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By the end of December, there were about 146 Hongkong institutions holding about 860 billion 500 million offshore renminbi in the form of demand deposits. As a result, the liquidity of the spot, swap, forward futures and options markets of offshore renminbi has increased significantly. The average trading volume of off shore trading < a href= "http:// www.91se91.com/news/index_c.asp" > RMB < /a > is estimated to be about 30 billion US dollars < /p > P.

< p > report also indicates that the trend of recent pactions and < a href= "http://www.91se91.com/news/index_c.asp" > hedging < /a > shows that the popularity of RMB NDF (no principal delivery forward) as a hedge is declining, while USD / offshore RMB forward and futures derivatives are favored and gaining more liquidity.

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Last February, Chichi has launched the US dollar / offshore RMB futures contract, P.

Customers manage the risk exposure of offshore RMB market through deliverable USD / offshore RMB futures.

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The exchange rate of RMB P is no longer appreciating unilaterally since mid 2, stimulating the futures contract trading to increase sharply. The Hong Kong Stock Exchange announced that it will introduce the RMB night period.

The Hong Kong Stock Exchange's RMB futures contract reached a turnover of 6318 Zhang Xingao in March 19th, which led to a monthly turnover of 31479 in March.

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With the fluctuation of RMB P and the fluctuation of RMB, Yu Taishuo, director of customer development and fixed rate products and monetary development of HKEx global market, pointed out that demand for RMB foreign exchange products will only increase and price pparency will be raised. In the future, RMB futures contracts will be offered to US $10 thousand (about HK $78 thousand) in the future, but there is no timetable yet.

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< p > the existing contract value is 100 thousand US dollars per unit (about HK $780 thousand), and the deposit is only 15630 yuan, which is only about 2.5% of the contract value. If the deposit of the 10 thousand US dollar contract is maintained at this low level, the deposit is only about 1563 yuan, which is less than 2000 Hong Kong dollars.

As for RMB options, the average daily turnover of the market is 10 billion dollars (about HK $78 billion) last year, reflecting the huge potential of the market.

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Less than P, RMB futures were launched in September, and the average daily turnover in the first quarter of this year was about 1200, up from about 700 last year.

As of last Friday, there were more than 10134 unliquidated contracts in renminbi futures, with a contract value of more than US $1 billion (about HK $7 billion 800 million).

RMB futures are not the only business of the Hong Kong stock exchange. The Chicago Mercantile Exchange, also known as CME, launched RMB futures in February last year, and the value of each contract was $100 thousand.

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