China’s benchmark money-market rate fell to the lowest this year on speculation debt maturing in March will add funds to the banking system.
Hong Kong should start a yuan deliverable forwards market to boost its ability to compete with Shanghai in renminbi trade and investment, said Frances Cheung , a senior strategist at Credit Agricole CIB.
Yuan 12-month non-deliverable forwards rose ahead of inflation data due Dec. 11 that may prompt China’s central bank to raise interest rates.
South Korea and Taiwan have declared a cease-fire in Asia’s currency wars.
"We see no strong fundamental need for further easing with the current rate level accommodative enough, while we are also skeptical about the impact from a cut."
- Frances Cheung on Oct 14, 2014