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

     BEIJING (MNI) - The yuan fell against the U.S. dollar on Monday after the

People's Bank of China set the fixing rate weaker for the day. 

     The yuan was last at 6.3821 against the U.S. dollar, compared with the

official closing price of 6.3760 on Friday.

     The People's Bank of China set the yuan central parity rate at 6.3852

Monday, weaker than last Friday's 6.3763.

     Interbank market rates dropped after PBOC skipped open market operations,

which resulted in no change in liquidity condition.

  - 7-day repo average fell to 2.6689% from Friday's average of 2.6962%;

  - Overnight repo average dropped to 2.5051% from Friday's 2.5289%.

     Yield on 10-year China Government Bond last traded 3.6900%, down from

3.7050% close on Friday: Wind Information.

     The Shanghai Composite Index was up 0.63% to 3213.42 at 11:13 am, while

Hong Kong's Hang Seng Index rose 1.22% to 31,426.56.

--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$]