HSBC Holdings (0005)

[brattzz]

start with HSBC?
World's global bank?

[soros]

start with HSBC?
World's global bank?

I think you mean "World's local bank" ?

[Behappyalways]

(There's a chinese saying that you are a thief if you steal but when you steal a nation then you become king )

http://www.rollingstone.com/politics/blo...e-20121213

[level13]

Its within expectation. What if the bank got into difficulties due to this issue. The world's financial system will be chaotic.

No they wont let it happen because HSBC also belong to the 'too big to fail' group!

[CityFarmer]

Catching-up with HK, as offshore hub for RMB. Singapore seems moving very fast...

HSBC sells first Dim Sum bonds in Singapore as StanChart markets: Update

HSBC Holdings Plc sold the first yuan-denominated bonds in Singapore as Standard Chartered Plc markets 1 billion yuan ($205 million) of debt in the city state.

HSBC priced 500 million yuan of two-year notes through its Singapore branch at 2.25%, according to an e-mailed statement from Europe’s biggest bank. Standard Chartered, which generates most of its operating profit in Asia, is marketing three-year notes at 2.75% to 2.875%, according to a person familiar with the matter, who asked not to be identified because the terms aren’t set.

DBS Group Holdings is also looking to issue yuan bonds in Singapore as Industrial & Commercial Bank of China Ltd.’s local branch begins clearing services from today for the renminbi. Singapore is the third offshore hub for Dim Sum note sales after Hong Kong and Taiwan.

http://www.theedgesingapore.com/the-dail...pdate.html

[specuvestor]

I think China will be moving fast as well Internationalisation of RMB, IMHO probably with some convertibility restriction between onshore and offshore, will likely come by end of the year after years of talk.

[nathanmaloney]

Anybody with an opinion on RMB currency movements this year? Rose 4% against SGD so far this year, more to come?

[CityFarmer]

I think China will be moving fast as well Internationalisation of RMB, IMHO probably with some convertibility restriction between onshore and offshore, will likely come by end of the year after years of talk.

Well, IMO, internationalization of RMB will continue to be step-by-step, instead of a bold move at once. I refer to the news reporting below. Isn't it an approach China used to internationalize RMB?

I am not a finance professional, and it had made me think twice before this posting, because of different view from you, Mr. specuvestor.

China, NZ discuss currency convertibility

WELLINGTON — New Zealand and China are in the early stages of negotiating the direct convertibility of each other’s currencies, but an agreement is likely to be some way off.

The New Zealand prime minister’s office has confirmed that the issue was raised during John Key’s visit to China last month and preliminary work has started on a deal that would aim to cut the costs of doing business between the two countries.

At present, New Zealand businesses wanting to buy or sell yuan must convert their holdings into US dollars, Japanese yen, or the Australian dollar, the only developed economy currencies that can be directly converted with the yuan.

http://www.todayonline.com/business/chin...ertibility

[specuvestor]

People tend to confuse the term internationalisation with other terms like convertibility. The simple rule for me is if you can use the currency in major departmental stores then it is internationalised. I think the World Bank view is that when the currency is deemed a reserve currency by Central Banks it is internationalised.

The first step that they did was to allow invoices to settle in RMB which created an offshore RMB market ie opened the current account,not to mention the illegal movements of RMB across HK which everybody know. They further legitimise this by creating the dim sum market in HK just 2 years ago to stabilise the on and offshore rates differences. They are proceeding with doing RMB clearing offshore, started with HK , Taiwan, now Singapore and likely London, and more.

They have indeed internationalised step-by-step over the years. Opening the Capital account will be the last major move. There is no bold move and I think China did right

[CityFarmer]

People tend to confuse the term internationalisation with other terms like convertibility. The simple rule for me is if you can use the currency in major departmental stores then it is internationalised. I think the World Bank view is that when the currency is deemed a reserve currency by Central Banks it is internationalised.

The first step that they did was to allow invoices to settle in RMB which created an offshore RMB market ie opened the current account,not to mention the illegal movements of RMB across HK which everybody know. They further legitimise this by creating the dim sum market in HK just 2 years ago to stabilise the on and offshore rates differences. They are proceeding with doing RMB clearing offshore, started with HK , Taiwan, now Singapore and likely London, and more.

They have indeed internationalised step-by-step over the years. Opening the Capital account will be the last major move. There is no bold move and I think China did right

Thanks, and digesting the posting...