Treasurers need to understand the Chinese regulator's thinking when handing cross-border transactions. Its priority now is ensuring such transactions are authentic.
The central bank seeks to establish a list of commodities that can be hedged by all companies with direct exposure. In step, it also plans to allow greater FX hedging activity.
A simple model for predicting Rmb movement, based on options traded in Hong Kong, can cut through the fog that surrounds China's currency, study finds.