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First Gain In A Week On Thursday

CNH

The Yuan had its first gain since 1 Dec on Thursday as the USD ticked lower, an offer in USD/JPY as expectations of the December BOJ meeting becoming "live" weighed. The PBOC continued to support its currency ahead of Friday’s US payroll data.

  • In early dealing on Friday USD/CNH sits little changed from opening levels last printing at 7.1620/40.
  • Technically the pair has been see-sawing around the 200-Day EMA (7.1601) with little follow through in recent dealing. Bears look to clear the measure to target a break of 7.10 which opens the 7 handle. Bulls immediate focus is on the 20-Day EMA (7.1843).
  • In the equity space the CSI300 fell ~0.3% yesterday, in NY trading the Golden Dragon was a touch lower falling 0.1%.
  • The Chinese docket is empty today.

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