HKEX Expands Derivatives Holiday Trading with Currency Futures

Hong Kong Exchanges and Clearing Limited (HKEX) will extend its Derivatives Holiday Trading program to include currency futures and options starting March 29, 2024. This addition significantly expands HKEX's services by responding to investors' FX risk management requirements during Hong Kong vacations.

The decision to include currency items in Derivatives Holiday trading demonstrates HKEX's commitment to offering comprehensive solutions to market players that suit their changing needs in a dynamic financial world. Glenda So, HKEX Group Head of Emerging Business and FIC, expressed her delight in the development, emphasizing its importance in strengthening the derivatives market environment.

Among the currency products now eligible for Derivatives Holiday Trading are:

• US Dollar vs Renminbi (Hong Kong) (USD/CNH) Futures

• Mini US Dollar vs Renminbi (Hong Kong) (Mini USD/CNH) Futures

• US Dollar vs Renminbi (Hong Kong) (USD/CNH) Options

• Euro vs Renminbi (Hong Kong) (EUR/CNH) Futures

• Australian Dollar vs Renminbi (Hong Kong) (AUD/CNH) Futures

• Japanese Yen vs Renminbi (Hong Kong) (JPY/CNH) Futures

• Indian Rupee vs Renminbi (Hong Kong) (INR/CNH) Futures

• Indian Rupee vs US Dollar (INR/USD) Futures

• Renminbi (Hong Kong) vs US Dollar (CNH/USD) Futures

Ms. So noted that the launch of Derivatives Holiday Trading in 2022 has already helped to strengthen the attractiveness and resilience of HKEX's derivatives market. This development is consistent with HKEX's overall strategy of expanding its product line and strengthening market infrastructure, to reinforce Hong Kong's status as a major offshore RMB center and risk management hub.

Derivatives Holiday Trading was implemented in May 2022, allowing investors to trade non-Hong Kong Dollar products on Hong Kong holidays even while the underlying securities markets are open.

All 39 HKEX MSCI index futures and options contracts are eligible for Derivatives Holiday Trading, providing investors with additional investing alternatives.

Hong Kong is the world's biggest offshore RMB center, with HKEX enjoying robust growth in RMB futures trading volumes. The exchange-traded 40,000 contracts daily in 2023, more than twice the previous year. The robust demand for RMB-related financial instruments persisted into January 2024, with an average daily trading volume of 77,417 contracts.

About the HKEX

HKEX is a well-known worldwide exchange group that trades under the stock number 388. Its extensive range of offerings includes stock, derivatives, commodities, fixed income, and other financial market products and services, such as the London Metal Exchange. HKEX serves as a critical connection between East and West, allowing for the smooth movement of cash, ideas, and discussion between China and the global financial community.

HKEX, with its innovative Connect schemes, varied product ecosystem, and deep, liquid international markets, is critical to promoting financial connection and economic development. Aside from its corporate aims, HKEX takes a purpose-driven strategy, trying to connect, promote, and advance its markets and the communities it serves via programs like as the HKEX Foundation, all aimed at creating prosperity and sustainable development.

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