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

     BEIJING(MNI) - The Chinese yuan weakened to 6.3722 against the U.S. dollar
on Wednesday from Tuesday's 6.3676 closing, following today's weaker fixing.
     The People's Bank of China set the yuan central parity rate at 6.36733
Wednesday, weaker than Tuesday's 6.3674. The central bank has set the fixing
weaker for three trading days in a row.
     Interbank market rates decreased after PBOC drained CNY100 billion via open
market operations. The 7-day repo average fell to 2.6786% from 2.6809% Tuesday.
Overnight repo average dropped to 2.4836% from 2.5421% Tuesday.
     The yield on 10-year Chinese Government Bonds last traded at 3.7000%, up
from the 3.6950% close on Tuesday: Wind Information.
     The Shanghai Composite Index was up slightly 0.06% to 3163.25 at 11:30
midday market break, while Hong Kong's Hang Seng Index was last up 0.46% at
30,543.96.
--MNI Singapore Bureau; +65 8233 2326; email: Asia-Editor@marketnews.com

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