China Foreign Exchange Trading Center will join hands with Chicago Mercantile Exchange, and domestic institutions will enter the international money market.
Yesterday, China Foreign Exchange Trading Center and Chicago Mercantile Exchange (CME) held a text exchange ceremony of international monetary product trading cooperation agreement in Shanghai. According to the agreement, members of the China Foreign Exchange Trading Center will be able to buy and sell exchange rate and interest rate products in the international currency market through the global electronic trading platform of the Chicago Mercantile Exchange.
According to the agreement between the two parties, China Foreign Exchange Trading Center will serve as a super clearing member of the Chicago Mercantile Exchange to provide trading convenience and clearing services for market participants who trade these monetary products; The CME will provide necessary technical support and consulting services for the system construction of China Foreign Exchange Trading Center. China Foreign Exchange Trading Center and Chicago Mercantile Exchange will jointly provide business training and technical consulting services for the member units of China Foreign Exchange Trading Center.
According to professional analysis, this agreement provides a channel for members of China Foreign Exchange Trading Center to conduct CME foreign exchange, interest rate options and futures trading on CME Globex electronic trading platform.
Relevant persons of the central bank said that the signing of the agreement is an important measure to promote the development of China's foreign exchange market, which means that China Foreign Exchange Trading Center can provide more foreign exchange trading products for market participants, promote financial institutions to improve their independent pricing and risk management capabilities in financial trading practice, and manage international currency exchange rate and interest rate risks more effectively. The signing of the agreement will be conducive to the capital construction of China's foreign exchange market, the further deepening of China's financial market reform and opening up, and the acceleration of the construction of Shanghai's international financial center.
The agreement has not yet been approved by CME, China Foreign Exchange Trading Center and the regulatory agencies of China and the United States.