Deutsche Boerse to launch China joint venture for interbank market products

Deutsche Boerse AG and China Foreign Exchange Trade System (CFET) have announced a joint venture that will host interbank products as well as trading for yuan-denominated currency and interest-rate trading, Bloomberg reported, citing a statement from state-run CFET. The venture will give participants in China’s interbank market the chance to trade Deutsche Boerse’s derivatives and cash products, and allow the German exchange’s customers to trade Chinese interbank assets. The announcement comes as German Chancellor Angela Merkel visits China in pursuit of deeper economic ties, and follows on the heels of British Prime Minister David Cameron’s obsequious reception of Chinese President Xi Jinping in London last week.