Geopolitical and trade uncertainties between the US and China could spell advantages for Standard Chartered's (HKG:2888) capital markets and trading operations in 2025, the South China Morning Post reported Monday, citing a company senior executive.
Fluctuations in interest rates, foreign exchange, and credit have been more pronounced since US President Donald Trump made pronouncements on tariffs against China, the report said, citing John Thang, Standard Chartered's Head of Markets and Strategic Client Management and Solutions for Hong Kong and Greater China and North Asia.
The bank has seen more demand for foreign exchange hedging, and companies and financial firms will need to keep managing risks due to the situation, according to the report, citing Thang.
The onshore renminbi has slumped 1.98% against the US dollar since Trump's election in November, according to the SCMP.
Standard Chartered, one of the three banks issuing Hong Kong dollars, expects the exchange rate to be between 7.20 yuan and 7.40 yuan to a dollar, the report said.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
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