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

     BEIJING (MNI) - The Chinese yuan slid to 6.2990 against the U.S. dollar on

Thursday from yesterday's 6.2884 closing following today's much weaker fixing.  

     The People's Bank of China set the yuan central parity rate vs the U.S.

dollar at 6.3046 on Thursday, much weaker than Wednesday's 6.2785. 

     Interbank market rates dropped after PBOC chose not to conduct open-market

operation, which resulted in a net drain of CNY40 billion.

  - 7-day repo average dropped to 2.8385% from 2.9118% yesterday; 

  - Overnight repo average was last at 2.5563%, down from 2.5710% yesterday. 

     The yield on 10-year China Government Bond rose to 3.7450% from the 3.7200%

close yesterday: Wind Information.

The Shanghai Composite Index went up 0.27% to 3130.83 at 11:05 am Thursday,

while Hong Kong's Hang Seng Index was down 0.06% at 30,004.78.

--MNI Beijing Bureau; +86 10 85325998; email: he.wei@marketnews.com

--MNI Beijing Bureau; +86-10-8532-5998; email: beijing@marketnews.com

[TOPICS: M$A$$$,M$Q$$$,M$$FI$,MN$FI$,MN$FX$]