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The ongoing sure in Chinese stocks is.........>

CHINA: The ongoing sure in Chinese stocks is helping to drag down USDCNH, even
as interest rate swaps edge lower from yesterday's highs. 
- The CSI has broken above its 55-dma to trade at 3407, testing the August 28
highs as the trend turns increasingly bullish. The Chinext, while still lagging
in this recovery, has broken above the 1400 level suggesting it too is set to
join in the uptrend. 
- Improving risk appetite towards Chinese stocks is helping to support the yuan,
with USDCNH pushing below 6.8300 currently as the 55-dma at 6.8209 approaches. 
- Interest rate markets are not joining in the rally today, with the 2-year swap
shedding 2bps to trade at 3.02%. Support at 3.0% remains intact though and the
downtrend seen in H1 has been broken suggesting further gains.  

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