News out in Asia and posting now for info

Reuters has reported sources with direct knowledge that the Peoples Bank of China has temporarily suspended some FX business of several foreign banks until the end of March

Among the services suspended is liquidation of spot positions for clients and a few other services related to cross-border, onshore and off shore business

The PBOC sent a notice to the foreign banks concerned on Monday according to the sources

The move can be seen as aimed at capping speculative outflows as USDCNH clears 12 August post-deval highs and the need for increased CNY/CNH convergence

Last week, in a major reform, the PBOC extended the Yuan's trading hours on the Shanghai-based market effective 4 Jan . Trading will then close at 11.30 pm local time ( 15.30 (GMT) rather than end at 4.30pm local time

Adam posted this on talk of other PBOC measures and also in Asia state fx regulator SAFE said that it will improve its policy reserves and contingency plans to curb risks from abnormal cross-border capital flows. It added that some firms are repaying a bit of foreign debt to hedge currency risks

Seems to me China has not grasped the concept of free market forces just yet and will struggle to any time soon