NEER Recovers Further, Credit, Inflation & Trade Data On Tap Next Week

(MNI Australia) USD/CNH largely tracked sideways post the Asia close on Thursday. The pair did see brief dip towards 6.8700, but it wasn't sustained. We recovered back to 6.8800/50 and sit around the middle of this range currently. The CNY NEER (J.P. Morgan index) rose further, pushing back to 125.14 (+0.20%). Carry over from yesterday's Caixin Services PMI beat likely helping at the margins.

• The China Golden Index also rallied (+1.47%) through Thursday's US trade, finding support ahead of the simple 200-day MA. The CSI 300 edged down yesterday (-0.16%), but isn't too far off multi week highs.
• Today we have China FX reserves for March on tap. Next week's data calendar will be of more interest though, with aggregate credit figures due (release window 9-15th of April). Anecdotes from onshore point to a strong outcome.
• On Tuesday CPI and PPI for Mar print, then on Thursday trade figures are due for Mar.
• The other focus point will be whether China's response to Taiwan President Tsai's meeting with US House Speaker McCarthy ramps up. Compared to Pelosi's visit to Taiwan last year, which prompted large scale military exercises, the initial China response this time around has been more muted. French President Macron's visit to China this week may have been a factor.