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Chinese stocks have continued their...........>

CHINA
CHINA: Chinese stocks have continued their volatile streak today with the CSI300
seeing large swings either side of the 3200 level and currently sitting just
below it. 
- The performance of Chinese stocks is growing in importance for rates and the
yuan. 2-year swaps are down 2bps today at 2.82% testing mid-August lows. Any
resumption in equity weakness would likely see the Aug lows at 2.6450% tested
given the strong correlation between the two assets.
- As for the yuan, while USDCNH has remained remarkably stable in the face of
equity volatility, any break above the 6.95 level would likely reignite the
bullish trend.

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