Bank of China (BoC) has stopped foreign exchange forwards and swaps trading with UBS and BNP Paribas, The Wall Street Journal reports. The European banks had reached their trading credit lines limit with BoC.
UBS and BNP will still be able to access liquidity required within China from other lenders and participants in the interbank market. BoC has also halted trading with Societe Generale and Credit Agricole, adds Reuters.
Click here for the story from The Wall Street Journal.
Click here for additional coverage from Reuters.