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Bloomberg headlines regarding a call.....>

CHINA YUAN
CHINA YUAN: Bloomberg headlines regarding a call between Chinese Premier Liu and
US Treasury Secretary Mnuchin has sent risk assets bid with USDCNH dropping to
6.9080 last, reversing gains that saw the pair briefly trade through the 6.92
level in early Asian trading. The 50-dma at 6.9256 is acting as key resistance,
below which keeps the yuan's recovery alive. 
- EURCNH has come back from yesterday's highs following the bearish reversal in
EURUSD, with the pair failing to consolidate gains above the 7.90 level
yesterday, which has seen downside momentum resume.
- Rate markets have failed to react despite the recovery in stocks as traders
likely see any yuan strength as providing a window of opportunity for the PBOC
to ease.

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