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MNI CHINA MARKETS: Yuan Weaker; Rates Fell; SH Shares Up

     BEIJING (MNI) - The Chinese yuan fell to 6.3299 against the U.S. dollar on
Thursday from yesterday's 6.3229 close, following today's stronger fixing. 
     People's Bank of China set the yuan central parity rate vs the U.S. dollar
at 6.3239 on Thursday, stronger than Wednesday's 6.3294. This has been the third
day that the central bank set the fixing stronger. 
     Interbank market rates dropped as PBOC drained CNY100 billion after
skipping open market operations. 
  - 7-day repo average fell to 2.7029% from 2.8460% yesterday 
  - Overnight repo average is down at 2.5346% from 2.5604% yesterday. 
     Yield on 10-year China Government Bond last traded 3.8275%, lower than the
close of 3.8300% yesterday: Wind Information. 
     Stocks rose, sending the Shanghai Composite Index up 0.31% to 3281.94 at
11:00 a.m. local time, while Hong Kong's Hang Seng Index was 1.24% higher at
30,572.33. 
--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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