Hedge funds increase bullish RMB options bets, targeting a breakthrough of 7

Jinse Finance reported that currently, hedge funds are increasing their positions in the options market, indicating that they believe the rebound of the RMB against the US dollar still has further room to rise. According to traders, there is a growing demand in the market for options to profit from RMB appreciation. Derivatives data from the East Eight Zone Exchange (SGX) shows that investors are targeting the RMB to strengthen to 7 or even higher by the end of the year. This bet is underpinned by confidence that China will continue to introduce supportive policies, as well as a shift in expectations regarding US interest rates. (China Fund News)