MNI: Japan Govt Keeps Economic Assessment, Ups Imports

MNI BRIEF: China Supports Globalisation Despite Turbulence

MNI: PBOC Net Injects CNY11.0 Bln via OMO Tuesday

MNI: PBOC Sets Yuan Parity Lower At 7.1910 Tues; -1.46% Y/Y

MNI China Daily Summary: Monday, November 25

MNI: China CFETS Yuan Index Up 0.01% In Week of Nov 22

MNI: UK NOV BRC SHOP PRICES +0.2% M/M, -0.6% Y/Y

MNI: JAPAN OCT SERVICES PPI +2.9% Y/Y; SEPT REV +2.8%

EZ/UK T-Bill Calendar: 2/3-Month ATB Auction on Tuesday

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

MNI EXCLUSIVE: German Turmoil Dashes EU's Joint-Funding Hopes -Officials

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

ASIA FX: USD/CNH Tests Above 7.2700 Amid Tariff Threat, KRW Outperforms

ASIA FX
BulletEM BulletAPACEmerging Market News

Spot USD/CNH got too fresh multi month highs of 7.2728, as headlines crossed of Trump threatening a further 10% rise in tariff levels on China. This relates to drug flows, with Trump also threatening tariffs on imports from Mexico and Canada for the same issue and also related to migration flows. 

  • The pair sits lower now, last near 7.2630. USD/CNY spot is higher but found some selling interest above 7.2550. Markets may wait for clarification around the tariff issue, in terms of whether it applies on current tariffed imports from China or all imports from China.
  • Some offset for CNH has come from the slightly firmer onshore equity backdrop.
  • Spot USD/KRW is back under 1400, albeit remaining within recent ranges. We got to highs above 1407 on the tariff headlines, but support emerged when headlines crossed from the BoK and the National Pension Service around expanding their swap facility. The firmer yen track is also helping this afternoon. We were last under 1395, up around 0.40% for the session.
  • Spot USD/TWD is little changed, last near 32.47. 
177 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

Spot USD/CNH got too fresh multi month highs of 7.2728, as headlines crossed of Trump threatening a further 10% rise in tariff levels on China. This relates to drug flows, with Trump also threatening tariffs on imports from Mexico and Canada for the same issue and also related to migration flows. 

  • The pair sits lower now, last near 7.2630. USD/CNY spot is higher but found some selling interest above 7.2550. Markets may wait for clarification around the tariff issue, in terms of whether it applies on current tariffed imports from China or all imports from China.
  • Some offset for CNH has come from the slightly firmer onshore equity backdrop.
  • Spot USD/KRW is back under 1400, albeit remaining within recent ranges. We got to highs above 1407 on the tariff headlines, but support emerged when headlines crossed from the BoK and the National Pension Service around expanding their swap facility. The firmer yen track is also helping this afternoon. We were last under 1395, up around 0.40% for the session.
  • Spot USD/TWD is little changed, last near 32.47.