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CNY squeezed as US consider HK response -.....>

FOREX
FOREX: CNY squeezed as US consider HK response
- Renewed unrest in Hong Kong has sparked some fragility in Asia-Pac currencies.
CNH and CNY are both well offered, with pressure intensifying on reports that
the Trump administration is coming under pressure on both sides of the aisle to
counter China's encroachment on Hong Kong's autonomy. USD/CNH opened the session
at 7.1450 and now sits comfortably above the 7.17 mark pre-NY. Reports suggest
US measures could include sanctions on Chinese officials via transaction and
asset freezing. 
- Among the other majors, the greenback has bounced slightly, helping EUR/USD
trim some of yesterday's decent gains. JPY has also firmed, but this hasn't
stopped equities hold recent strength, with US equity futures holding at new
recovery highs.
- CHF is the poorest performer so far, with the EUR/CHF cross mimicking a late
rally yesterday this morning by bidding up toward resistance at 1.0650.
- Data is light Wednesday, leaving focus on the speakers schedule. Both Fed's
Bullard and Bostic are both due to speak.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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