Offshore China FX sinks as PBoC remove........>

FOREX: Offshore China FX sinks as PBoC remove implicit support

-The CNH sits lower against all others in G10, hitting the worst levels against

the USD since November as the PBoC governor removed the implicit support for the

currency as USD/CNH nears 7.00. Yi Gang re-affirmed that China have ample room

to ease both monetary and fiscal policy in the coming months as the economy

faces headwinds from the trade spat with Trump. Markets had eyed Cny7.00 as the

level at which the PBoC would step in to defend, but the governor seemed to

erase that line in the sand by stating that no number is more important than any

other in the country's FX rate. USD/CNH rallied to touch 6.9625 while the

onshore CNY is closed for a market holiday.

-GBP trades well against the rest of G10 as Nigel Farage's Brexit Party failed

to secure a seat in the House of Commons. His candidate narrowly lost, leaving

the incumbent Labour party in control, which has helped GBP/USD edge back above

$1.27.

-The US jobs report takes focus, with the Canadian equivalent also due. Fedspeak

quietens down ahead of the blackout period beginning tomorrow.