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Offshore Yuan Treads Water, Trade Data Eyed

CNH

Spot USD/CNH trades at CNH6.3768, virtually unchanged after a brief uptick. A break above yesterday's high of CNH6.3900 would allow bulls to take aim at Mar 28 high of CNH6.3983. On the downside, initial focus falls on CNH6.3588-81, which limited losses on Apr 6--8. A move through these levels would open up Mar 31 low of CNH6.3452.

  • Caixin reported, citing a document from the State Council, that China is starting pilot programs in eight cities including Shanghai and Guangzhou to test looser quarantine requirements.
  • The PBOC set the yuan reference rate at CNY6.3752, just 5 pips above the average sell-side estimate.
  • China's monthly trade data will hit the wires today (there is no fixed time of the release), with new home prices coming up on Friday.

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