Free Trial

Eleventh Straight Fix Above Estimates For USD/CNY

CNH

Constructive risk tone has seen USD/CNH move lower as the yuan advances, the pair last 6.4659 – down around 82 pips.

  • The PBOC injected CNY 78bn via OMO's, the third consecutive session of net injections after repo rates spiked to multi year highs.
  • The bank fixed USD/CNY at 6.4736, another fix above sellside estimates for the eleventh straight session, bringing total misses in Feb to +33 pips (Jan +284 pips, Dec +133 pips)
  • Alongside the PBOC injecting funds to help alleviate the liquidity crunch the risk tone is supported by comments from a senior Chinese diplomat who said the relationship between the US and China should be put back on a more constructive track. Elsewhere, positive developments around a coronavirus relief package also spurred risk as dragged USD lower.

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.