AGL 40.21 Increased By ▲ 0.18 (0.45%)
AIRLINK 127.64 Decreased By ▼ -0.06 (-0.05%)
BOP 6.67 Increased By ▲ 0.06 (0.91%)
CNERGY 4.45 Decreased By ▼ -0.15 (-3.26%)
DCL 8.73 Decreased By ▼ -0.06 (-0.68%)
DFML 41.16 Decreased By ▼ -0.42 (-1.01%)
DGKC 86.11 Increased By ▲ 0.32 (0.37%)
FCCL 32.56 Increased By ▲ 0.07 (0.22%)
FFBL 64.38 Increased By ▲ 0.35 (0.55%)
FFL 11.61 Increased By ▲ 1.06 (10.05%)
HUBC 112.46 Increased By ▲ 1.69 (1.53%)
HUMNL 14.81 Decreased By ▼ -0.26 (-1.73%)
KEL 5.04 Increased By ▲ 0.16 (3.28%)
KOSM 7.36 Decreased By ▼ -0.09 (-1.21%)
MLCF 40.33 Decreased By ▼ -0.19 (-0.47%)
NBP 61.08 Increased By ▲ 0.03 (0.05%)
OGDC 194.18 Decreased By ▼ -0.69 (-0.35%)
PAEL 26.91 Decreased By ▼ -0.60 (-2.18%)
PIBTL 7.28 Decreased By ▼ -0.53 (-6.79%)
PPL 152.68 Increased By ▲ 0.15 (0.1%)
PRL 26.22 Decreased By ▼ -0.36 (-1.35%)
PTC 16.14 Decreased By ▼ -0.12 (-0.74%)
SEARL 85.70 Increased By ▲ 1.56 (1.85%)
TELE 7.67 Decreased By ▼ -0.29 (-3.64%)
TOMCL 36.47 Decreased By ▼ -0.13 (-0.36%)
TPLP 8.79 Increased By ▲ 0.13 (1.5%)
TREET 16.84 Decreased By ▼ -0.82 (-4.64%)
TRG 62.74 Increased By ▲ 4.12 (7.03%)
UNITY 28.20 Increased By ▲ 1.34 (4.99%)
WTL 1.34 Decreased By ▼ -0.04 (-2.9%)
BR100 10,086 No Change 0 (0%)
BR30 31,170 No Change 0 (0%)
KSE100 94,764 No Change 0 (0%)
KSE30 29,410 No Change 0 (0%)

BEIJING/SHANGHAI: China is considering extending its onshore currency trading hours, according to four sources familiar with the matter, a move that could spur demand for the yuan from global investors.

The central bank has surveyed some major market players and sought feedback on lengthening the daily session until 3 a.m. Beijing-time (1900 GMT), according to the sources.

“Covering global trading hours is part of the International Monetary Fund’s (IMF) requirements for Special Drawing Rights (SDR) basket currencies,” said one of the sources, who declined to be named as he is not authorised to speak to media.

Extending trade until the small hours, if it occurred, would cover much of the European and US trading day. It could allow overseas investors to hedge their currency risk more closely and, incrementally, expand the yuan’s global utility.

The IMF increased the weighting of the Chinese yuan in its SDR basket last month, the first review since the yuan joined the basket of currencies in 2016 in what was a milestone in Beijing’s efforts to internationalise its currency.

The State Administration of Foreign Exchange (SAFE) will “steadily push forward with various market infrastructures, including extending trading hours, based on market demand,” the FX regulator said in a statement to Reuters.

Earlier in the month, an official from the central bank had said that there were plans to extend interbank trading hours, without elaborating. Details of the proposal were first reported by Bloomberg.

x

Comments

Comments are closed.