CNH Trading Volume Drops 31.46% to 1.84 Billion, Ranks 433rd Amid Geopolitical Tensions and USD Strength

On June 18, 2025, the trading volume of CNH was 1.84 billion, a decrease of 31.46% compared to the previous day, ranking 433rd in the daily stock market. CNH rose by 0.47%.

The recent escalation in tensions between Israel and Iran has led to a strengthening of the US dollar, which has impacted the USD/CNH exchange rate. This geopolitical uncertainty has caused investors to seek safe-haven assets, driving up the demand for the US dollar and putting pressure on the offshore Chinese yuan.

Additionally, the fading hopes of a Federal Reserve rate cut have further bolstered the US dollar. The market is now closely watching the FOMC projections, which could provide more clarity on the future direction of interest rates and their impact on currency markets.

In Hong Kong, the coupon rate for yuan bills has more than halved due to easing expectations of depreciation. This development suggests that market participants are becoming more optimistic about the stability of the offshore Chinese yuan, which could potentially support its value against the US dollar.