Week in FX Asia – Yuan Rises in Global Forex Stage Reaches Top 10 Status

Chinese Yuan Rises in Global Trade
For the first time the Chinese Yuan has joined the elite club of the world’s ten most frequently traded currencies. This was one of the biggest highlights of the Bank of International Settlements (BIS) survey released this week. The full list had two other notable items. The Australian dollar continues to climb given it’s growing influence and connections to China. The Mexican peso continues to be a favourite of hedge funds and came out at number 8 in the triennial survey.

Here is the top 10 currencies by turnover:
1. USD
2. EUR
3. JPY
4. GBP
5. AUD
6. CHF
7. CAD
8. MXN
9. CNY
10. NZD

Singapore beating Tokyo as FX Hub
Although the Singapore dollar could not crack the top 10 list it sits barely outside at number 14. The coup that the city stage managed in the last three years was to unseat Tokyo as the region’s top FX hub. The trading average increased 44% from April 2010 to the same month in 2013. The new figures put Singapore in the elite just behind London and New York.

Australian Elections
This Saturday Australians will vote to decide the political leadership of the country. The opinion polls give a slight advantage to the opposition with a 53% take of the vote. Employment is one of the biggest issues as Australian boomed along with China and suffered with the slowdown causing massive unemployment in sectors such as mining.

Australia requires all its citizens to vote. Failure to do so, or to provide a valid reason results in a monetary penalty. This policy results in very high voter turnout with over 90% complying with their civic duty.

• Chinese County of Yunnan Faked Economic Data
• Contrarian Investors Enter India Looking for Opportunities
• Yuan A Top 10 Trading Currency in The Latest BIS Report
• Indonesia’s Situation More Dire Than India
• Singapore Unseats Japan as Asia’s Largest FX Hub
• BOJ Optimistic About Japanese Recovery But Ready to Act if Sales Tax Backfires
• New Head of Reserve Bank of India Boosts Currency and Stocks
• BOJ Keeps Policy Steady
• Chinese Economy Vulnerable On Fall In Credit
• China Removes Top Regulator on Anti-Corruption Charges
• Japan Budget For Next Year At Record $995 Billion
• Indian Rupee Recovers on New RBI Chief And Suspected Intervention
• India Services Activity Falls to 2009 Low Questions Strength of Economic Fundamentals
• OECD: Emerging Markets are Crying about Fed Taper
• Japan Aging Population Worsening – Adult Diapers Expected To Outsell Baby Nappies in 2014
• Japan Fin Min Confident the Sales Tax Will Be Introduced
• China Services Sector and US Manufacturing Signal Recoveries in Largest Economies
• Japan PM Abe States He Has Final Decision on Sales Tax
• RBA Running Out of Rate Cut Room
• Abenomics To Face Stern Tax Cutting Test
• India’s Growth Rate To Be Downgraded Yet Again
• Shinzo Abe Receives Support For Sales Tax Hike
• US-Singapore Trade at All Time High

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.