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In September the Chinese Yuan (CNY) broke into the ranks of the most traded currencies in the world. Once again demonstrating the importance of the second biggest economy in the world. It also highlighted how rapidly the Chinese foreign exchange market has grown. In breaking into the top ten of most traded currencies the CNY now surpasses well known international currencies such as the NZD and SEK. Read on and learn more about the CNY and how you can trade the Chinese RMB. The Rapid Rise Of The Yuan This move into the top ten has been a rapid ascent. In 2010 the CNY was only ranked 17. The amount of volume in CNY has increased massively over the last few years. In April 2013 the CNY was doing on average $120 billion a day. Given its rapid rise and Chinas economic importance, it is expected that trading volumes will only increase in the future. Chinese officials have noted that they want the CNY to become an international currency and that they believe it as the potential to be an alternative to the dollar. How to Trade the USD / CNY Not surprisingly there is a great deal of interest amongst traders about the best way to trade the USD / CNY. Currently there are only a few brokers that are offering this currency pair. One of these is Core Liquidity Partners. They recently made the USD / CNY available and streamed through the MetaTrader 4 system. Core Liquidity Markets notes that the USD / CNY is a product that has been demanded by its clients for a number of years. The Move To Full Convertibility The growth in trading volumes should also get a boost as the Yuan becomes fully convertible. Officials in Beijing have been loosening controls for the currency and earlier in this year Australia and China reached an agreement that their currencies could be directly exchangeable. The AUD joins the USD and JPY as the three currencies which are currently fully convertible. There are plans to have Thailand, South Korea, Pakistan and other countries join this list. The Future Of The Yuan Many analysts predict that by as early as 2015 the Yuan will be one of the top three most traded currencies in the world. Given its already rapid rise it seems that they are more than likely to be proved correct. And thanks to offerings like Core Liquidity Partners more than a few traders will be able to enjoy the ride. Core Liquidity Markets is an Australian company which is registered with ASIC, ACN 164 994 049. www.clmforex.com
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