Related News
BOC cuts exposure to eurozone woe
Source: Agencies |
September 21, 2011, Wednesday
|
Print Edition
Print Edition
THE Bank of China, a big market-maker in the country's onshore foreign exchange market, has stopped foreign exchange forwards and swaps trading with several European banks due to the unfolding debt crisis in Europe, three sources with direct knowledge of the matter said yesterday.
Another Chinese bank has also halted interest rate swaps trading with some European banks, a source at the bank said, indicating Chinese lenders have joined the growing ranks of institutions cutting exposure to the crisis-hit eurozone. This source requested that he nor his bank be identified because of the sensitivity of the matter.
While the sources said BOC had stopped trading the forwards and swaps with several European banks, they only identified French lenders Societe Generale, Credit Agricole and BNP Paribas.
The BOC's decision was made partly because of the downgrade of these financial institutions by Moody's ratings agency, the sources said.
One of the sources said the decision by BOC may apply across its branches, including the onshore foreign exchange market.
Another Chinese bank has also halted interest rate swaps trading with some European banks, a source at the bank said, indicating Chinese lenders have joined the growing ranks of institutions cutting exposure to the crisis-hit eurozone. This source requested that he nor his bank be identified because of the sensitivity of the matter.
While the sources said BOC had stopped trading the forwards and swaps with several European banks, they only identified French lenders Societe Generale, Credit Agricole and BNP Paribas.
The BOC's decision was made partly because of the downgrade of these financial institutions by Moody's ratings agency, the sources said.
One of the sources said the decision by BOC may apply across its branches, including the onshore foreign exchange market.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
