Free Trial

The correlation between Chinese rates and.....>

CHINA
CHINA: The correlation between Chinese rates and the yuan has completely broken
down in recent weeks with the 21-day rolling correlation between USDCNH and
2-year interest rate swaps dropping to zero today, down from 0.96 at its peak in
July. 
- The drop in USDCNH yesterday on positive China-US trade news was not
accompanied by a rise in yields, with the 2-year remaining unable to break above
3.0%, currently trading at 2.97%.
- Rising US yields are keeping China-US rate spreads minimal and undermining the
yuan.  

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.