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Mainland Chinese stocks are seeing renewed....>

CHINA
CHINA: Mainland Chinese stocks are seeing renewed weakness today with the CSI300
down ~1.4% at 3200. H-shares are faring better but the HSI remains below the
26000 level. The Chinext is under pressure too after failing to break above the
55-dma yesterday, which keeps the downtrend intact despite recent
outperformance. 
- Rate markets are seeing downside pressure spill over from weaker stocks, with
the 2-year swap continuing yesterday's weakness, down 1bp to 2.85%.
- With US-China yield spreads at new highs of 25.6bps, USDCNH is facing upside
pressure. A break above yesterday's high of 6.9284 would trigger an inverse
head-and-shoulders pattern targeting a move above 7.0.
- Correlations across Chinese assets continue to rise as trade headlines
continue to dominate. 

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