Tag: currencies

The distinct north-south split that has defined Asian currency markets in the second half of 2025 is set to continue into next year, according to market experts.

The pause in rate hikes was meant to bring relief. Instead, Asia’s treasurers are confronting a new kind of uncertainty – one where FX volatility, not funding cost, is driving strategic risk decisions.

Domestic currency weakness may have provided a boost to Japanese and Korean exporters, but for the majority of corporates the lower value of the yen and won has been a negative development.

Offshore yuan is the first emerging market currency to be added to the FX settlement partnership between the two financial institutions. The pair has executed the first US dollar-to-offshore yuan settlement using DLT, according to HSBC.

Widespread capital controls, limited liquidity in government securities, and governance and geopolitical challenges are hurdles to internationalizing the yuan, ratings agency says.

The Bank for International Settlements (BIS) triennial survey for foreign exchange turnover shows the FX trading is more frenetic than ever – and the dollar shows no sign of being replaced

Will the ECB’s new “unlimited” bond buying programme provide the much needed antidote in Europe and what are the market implications for Asian currencies? CT asks the experts.