Free Trial
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.
CNH
USD/CNH ticked away from session highs on the back of a BBG source report which suggested that “China is considering a broad package of stimulus measures as pressure builds on Xi Jinping’s government to boost the world’s second-largest economy… The stimulus proposals, drafted by multiple government agencies and partially reported by Bloomberg News earlier this month, include at least a dozen measures designed to support areas such as real estate and domestic demand… Interest-rate reductions are also among the policies under consideration.”
- The rate has stabilised to last trade around CNH7.1650.
- The story comes after the PBoC cut the interest rate applied to its 7-day reverse repo rate by 10bp (in what should be a pre-cursor to moves lower in the 1-Year MLF rate and LPR fixings over the coming days) on Tuesday, which resulted in another fresh YtD high for USD/CNH (CNH7.1782).
- The well-defined technical uptrend channel in the cross remains intact for now, at least on a closing basis, with the upper boundary located at CNH7.1752 today.
Fig. 1: USD/CNH
source: MNI - Market News/Bloomberg
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
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.
We are facing technical issues, please contact our team.
ok
Your request was sent sucessfully! Our team will contact you soon.
ok