RMB Exchange Rate Fluctuations, Derivatives, Passive Clearing, Risk Looming.

< p > with the April 23rd dollar to the RMB spot exchange rate to wear 6.24 points, the market began to move around to pay attention to the 6.25 pass if it is urgent.

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< p > a senior analyst told the first financial daily (micro-blog) daily that the position will be broken down this week or next week.

If 6.25 of the points are broken down, the market will be directly triggered by more empty markets, and some structural products will also appear.

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< p > "if we fall below 6.25, we will look directly at 6.3."

A senior self trading foreign trader in Shanghai said to our reporter.

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< p > < strong > < a > href= > //www.sjfzxm.com/news/index_c.asp > > exchange rate > /a > 14 months low > /strong > /p >

< p > April 23rd, although the central parity of RMB against the US dollar was 6.1599, it was 11 basis points higher than the previous trading day. However, the spot market opened with different trends.

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< p > according to Wind information statistics, the spot exchange rate of the RMB against the US dollar dropped sharply in the early morning, and once fell through the 6.24 pass in the intraday market. After the opening of the afternoon, it continued to drop to 6.2466 lows, creating the lowest point since December 2012.

However, the RMB rose against the US dollar and finally closed at 6.2376 points, which is basically the same as the previous 6.2375.

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< p > the trend of offshore RMB market is basically the same as that in China.

After the US dollar rose sharply to the RMB in early trading, the late market gradually dropped.

As of 21:50, the US dollar closed against CNH (offshore renminbi) at 6.238, up 1 basis points from the previous day.

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< p > overseas non deliverable Forex foreign exchange (NDF) market, the latest dollar / RMB variety is reported at 6.2993/6.3016, and the last trading day is 6.2660/6.2710.

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< p > although the initial value of Chinese Manufacturing Purchasing Managers Index (PMI) released by HSBC and Markit Economics in April 23rd was 48.3, which was higher than the final value of March in 48, but it still failed to reflect in the foreign exchange market because it was still below the watershed of 50 of 50.

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< p > < strong > < a > href= > //www.sjfzxm.com/news/index_c.asp > > buying foreign exchange > /a > sentiment upside down > /strong > /p >

< p > a trader from a domestic bank in Shanghai told our reporter that the downward trend of RMB was related to the concentration of foreign exchange purchase on the same day, especially after falling below 6.24.

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< p > another bank trader said that the centralized foreign exchange purchase of some customers will end on Wednesday, which includes the demand of some large state-owned enterprises to repay foreign debts. In addition, some large foreign investment banks also have many foreign exchange purchases on that day.

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< p > "the current enterprises purchase foreign exchange positively, and the willingness to hold foreign exchange has also risen sharply, which is different from the previous positive exchange settlement. Now the view of enterprises has changed. After all, the economic data released recently are not performing well, and this is also an objective response, which is consistent with the laws of the enterprise itself."

A joint-stock bank trader said.

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< p > < strong > > a href= "//www.sjfzxm.com/news/index_c.asp" > structural products < /a > or reverse warehouse < /strong > /p >

< p > after the RMB fell below 6.24, market participants began to focus on 6.25 key points.

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< p > a self employed trader of a Shanghai joint stock bank told the first Financial Daily reporter that it may fall below 6.25 this week or next week.

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< p > 6.25 is another key point for the US dollar to the RMB exchange rate. Previously, some market participants have said that once the market is down, there will be some structural products in the market and will be bought back in the opposite direction.

Because the derivatives of the RMB trading exchange rate, as long as one devaluation is required by the mark to market, customers need to add margin or reverse flat plate when they lose their books.

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< p > however, the above self employed people believe that despite the existence of speculation in the market, more structured products are applicable to enterprises with actual demand for exchange.

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< p > if we fall below the 6.25 threshold, we will see 6.3 next step, and the market's empty feelings are still accumulating.

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"P," said Bruce Yam, a foreign exchange strategist at Sun Hung Kai foreign exchange in Hongkong. "Even though PMI figures have rebounded, China's economic growth is slowing down. I suggest investors stay away from the yuan.

The renminbi will not soon resume its appreciation trend, so funds are actually seeking to leave this asset class rather than inflow.

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