TAIFEX (Taiwan Futures Exchange), as reported in the last couple of months has just recently launched USD/CNT FX futures and USD/CNH FX futures back on on July 20th. The Asian exchange is now reporting some first week metrics.
TAIFEX states that during the first week of trading, the average daily trading volume reached 6,252 contracts, with 5,221 and 1,031 contracts contributed by USD/CNT and USD/CNH FX futures respectively, outweighing the performance of similar contracts listed in Hong Kong and Singapore.
The highest daily trading volume reached 9,941 total contracts on July 24th. An increasing trend of open interest is definitely being observed, indicating that more and more investors are using USD/RMB futures to hedge their renminbi currency risk.
The promising trading volume observed in the first week of trade for the USD/RMB futures contracts looks bullish for Taiwan to develop into a major renminbi trading hub, but time will tell…
For more info on the contracts, click here.