Total Derivatives: Squeeze bets placed in short-end CNY swaps

Concerns about the Chinese economy have flattened the 1s/10s swap curve over the past month. Despite last week's injections of funds by the People's Bank of China (PBoC), foreigners have been paying in short CNY swaps to bet on a reoccurrence of last May's tax-related funding squeeze, writes Deirdre Yueng of Total Derivatives.