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MNI CHINA MARKETS: Yuan Stronger; Rates Lower; SH Shares Down

     BEIJING (MNI) - The Chinese yuan climbed to 6.3049 against the U.S. dollar
on Tuesday from yesterday's 6.3070 closing, following today's stronger fixing.  
     PBOC set the yuan central parity rate vs the U.S. dollar at 6.3146 on
Tuesday, stronger than Monday's 6.3378. Today is the third straight trading day
that the parity has been set stronger.
     Interbank market rates dipped after PBOC chose not to conduct open-market
operations, which resulted in no change in liquidity today.
  - 7-day repo average last at 2.7825%, lower than 2.8450% yesterday 
  - Overnight repo average 2.5351%, down from 2.5542% yesterday. 
     Yield on 10-year China government bonds last traded 3.8500%, unchanged from
yesterday's close: Wind Information.
The Shanghai Composite Index dipped 0.97% to 3297.30 at 11 am, while Hong Kong's
Hang Seng Index was last at 31,520.14, up 0.07%.
--MNI Beijing Bureau; +86 (10) 8532-5998; email: iris.ouyang@marketnews.com
--MNI Beijing Bureau; +86-10-8532-5998; email: beijing@marketnews.com
[TOPICS: M$A$$$,M$Q$$$,M$$FI$,MN$FI$,MN$FX$]

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