Back Near 7.2900, But Still Underperforming Broader USD Softness, Busy Data Week Ahead

USD/CNH tracks a little above 7.2900 in early Monday dealings. CNH rose less than 0.10% for Friday's session so continuing to lag broader USD trends. The USD indices fell around 0.20% post the disappointing NFP update. For USD/CNY we ended at 7.2683, while the 4:30pm onshore close (a CNY fixing input for today) was slightly lower at 7.2674 on Friday.

• Intra-session lows from Friday were at 7.2789, which was sub the 20-day EMA, near 7.2870, but we couldn't sustain this breach. These are likely to be downside focus points on any further USD pull backs, although EUR is moderately weaker this morning post the French parliamentary exit polls from Sunday (left leaning party looks set to have the most seats).
• Data on Friday showed FX reserves for June close to expectations ($3222.3bn), although the PBoC refrained from gold purchases for the 2nd straight month.
• This week's data calendar includes CPI/PPI figures on Wednesday and trade data out on Friday. Also due at some stage this week is June money supply/ aggregate credit figures.
• In the cross asset space, sentiment remains negative in the equity space, with the CSI 300 eyeing a test sub 3400. In the yield space the 10yr yield is back to mid June levels at 2.27%, while the 2yr remains closer to recent lows, last around 1.65%.