Little in the way of any tangible impact on...>

CHINA: Little in the way of any tangible impact on Chinese 10-Year government

bond yields in the wake of the 5bp rate cut in the rate applied to the PBoC's

14-Day reverse repo ops, with the announcement of today's 7- & 14-Day reverse

repo ops (after a 20-Day hiatus in OMOs) having more of an impact than the cut

itself, allowing a move away from the early highs. 10-Year yields now sit little

changed on the day.

- USD/CNH has edged higher, and last trades ~50 pips or so better off, back

above CNH7.0000.

- China's CSI 300 is ~0.2% higher on the day.

- Chinese policymakers continue to point to targeted easing, with the PBoC

having a desire to keep things "prudent." The move shouldn't be judged as

powerful.

- Some houses are looking for a 5bp cut to the 1-Year LPR fixing on Friday, with

the potential for further RRR cuts in Jan, which could be amplified if banks

frontload lending in '20.