MNI BRIEF: Japan Govt Keeps Econ View, Cuts Exports

MNI: PBOC Conducts CNY200 Bln via MLF Thurs; Rate Cut

MNI: PBOC Sets Yuan Parity Lower At 7.1321 Thurs; -1.92% Y/Y

CHINA PBOC CONDUCTS CNY235.1 BILLION VIA 7-DAY REVERSE REPOS THURS

CHINA SETS YUAN CENTRAL PARITY AT 7.1321 THURS VS 7.1358

MNI China Daily Summary: Wednesday, July 24

CBI Price Expectations for Three Months Ahead Lowest Since December 2020

MNI: UK JUL CBI INDUSTRIAL TRENDS TOTAL ORDERS -32

Broad-Based IFO Weakness Reinforces Narrative of Recovery Stall

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

TD Securities Add Short CHFMXN To Model Portfolio

MXN
  • TD Securities have added a short CHFMXN trade to their model portfolio, targeting a move near the recent range lows in the next 1-2 months. CHFMXN screens as one of the most attractive pairs on TD’s HFFV model along with favorable signals in their carry and terms of trade baskets.
  • TD note that with inflation headed the right way, Fed speakers seem to be indicating a preference to wait and see. The stronger than expected payrolls did more to raise expectations of a soft landing and higher for longer than add to pricing of Fed hike. The Fed is also softening up to the idea that the market repricing is doing some work for them. A US CPI report in line with TD’s US macro team's expectation of a soft 0.3% m/m for core will also be supportive of their trade.
  • Carry strategies like lower vol and supportive risk. While the last few weeks have been anything but that, the market environment has shown signs of a pivot. The news around China stimulus and the bottoming out of macro data could help to reverse the USD.
  • A key risk to their trade is from an escalation of the war is Israel which can raise preference for safe havens including the CHF, though the potential terms of trade impact could benefit MXN.
BulletEM BulletEmerging Market NewsHomepage
BulletEM BulletEmerging Market NewsHomepage

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.