MNI BRIEF: China Shipbuilding Up 13.8% In 2024

MNI: PBOC Net Injects CNY336.4 Bln via OMO Thursday

MNI: PBOC Sets Yuan Parity Lower At 7.1881 Thurs; -2.18% Y/Y

MNI BRIEF: Economic Activity Picks Up A Bit - Fed Beige Book

MNI China Daily Summary: Wednesday, January 15

MNI BRIEF: China Sees Favourable Conditions For 2025 Trade

MNI:AUSTRALIA DEC UNEMPLOYMENT RATE +4%

MNI: JAPAN DEC CORP GOODS PRICE INDEX +3.8% Y/Y; NOV REV +3.8%

EZ/UK T-Bill Calendar: 1/3/6-Month UKTB Auction on Friday

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2025 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

CNH: CNH Lags Broader USD Index Losses, Industrial Profits Out Tomorrow

CNH
EM BulletAPACChinaEmerging Market NewsBulletMarketsFixed Income BulletsForeign Exchange Bullets

USD/CNH kept to recent ranges through Monday trade. We track near 7.2470 in early Tuesday dealings, after posting a modest 0.18% gain in CNH terms for Monday's session. Broader USD index losses were larger (DXY off 0.60%, BBDXY down 0.48%). Spot USD/CNY ended up at 7.2462, little changed for Monday's session. The CNY CFETS basket tracker still rose though to 100.17 (per BBG).  This is back to mid year highs for the index. 

  • For USD/CNH, intra-session lows from Monday were at 7.2362, still above recent lows from early last week back close to 7.2250. The RSI (14) is at 62, so elevated but sub overbought territory. The 20-day EMA is back close to 7.2100.
  • The yuan likely received some benefit from the Bessent Tsy nomination, with his views on gradualism around trade/tariff issues likely meaning a more forceful approach on these matters will come step-by-step, rather than an abrupt shift. Although, as noted above onshore spot yuan barely moved yesterday.
  • USD/CNH risk reversals for the 6 and 12 month tenors ticked up a touch yesterday, but remain off recent highs.
  • The local data calendar is quiet until tomorrow's industrial profits print. Local equity indices were downside yesterday (CSI 300 off a further 0.46%).
  • As expected yesterday's 1yr MLF was held steady. Onshore media still speculates that the RRR may be cut before year end, although the PBoC Governor has also given strong hints to such a move.  
237 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.

USD/CNH kept to recent ranges through Monday trade. We track near 7.2470 in early Tuesday dealings, after posting a modest 0.18% gain in CNH terms for Monday's session. Broader USD index losses were larger (DXY off 0.60%, BBDXY down 0.48%). Spot USD/CNY ended up at 7.2462, little changed for Monday's session. The CNY CFETS basket tracker still rose though to 100.17 (per BBG).  This is back to mid year highs for the index. 

  • For USD/CNH, intra-session lows from Monday were at 7.2362, still above recent lows from early last week back close to 7.2250. The RSI (14) is at 62, so elevated but sub overbought territory. The 20-day EMA is back close to 7.2100.
  • The yuan likely received some benefit from the Bessent Tsy nomination, with his views on gradualism around trade/tariff issues likely meaning a more forceful approach on these matters will come step-by-step, rather than an abrupt shift. Although, as noted above onshore spot yuan barely moved yesterday.
  • USD/CNH risk reversals for the 6 and 12 month tenors ticked up a touch yesterday, but remain off recent highs.
  • The local data calendar is quiet until tomorrow's industrial profits print. Local equity indices were downside yesterday (CSI 300 off a further 0.46%).
  • As expected yesterday's 1yr MLF was held steady. Onshore media still speculates that the RRR may be cut before year end, although the PBoC Governor has also given strong hints to such a move.