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Caixin PMI Beat Adds To USD Pressure

CHINA

The China Caixin PMI beat (50.7 versus 49.6 forecast and 49.5 prior), has weighed further on the USD (BBDXY now sub 1237). CNH is not necessarily benefiting the most though. USD/CNH was last near 7.1385, not seeing much follow through from post data lows near 7.1320.

  • HK and China equity sentiment remains negative, although the HSI is up modestly from session lows.
  • NZD/USD is up 0.60% now for the session, extending to highs above 0.6190. Post RBNZ highs near 0.6210 will eyed on an extension higher. AUD/USD is up 0.30% to 0.6625/30, but still lagging NZD.
  • USD/JPY is near session lows at 147.65/70.
  • There hasn't been much positive spill over to other Asia FX. 1 month USD/KRW is relatively steady at 1297/98. USD/SGD is down 0.15% to 1.3350/55.

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