Mar 22, 2012 06:50 PM

For Government Bonds, It's Back to the Futures


Seventeen years after regulators responded to an investment scandal by shuttering China's government bond futures market, institutional traders may be invited back to the trading table.

The China Financial Futures Exchange (CFFEX) started testing February 13 a proposed, electronic version of the market launched in 1992 but abruptly closed in 1995 after a short-seller stung major bond holders including the Ministry of Finance.

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