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Uptick In Hang Seng Aids Risk Appetite

CROSS ASSET

An uptick in the Hang Seng (as Chinese property developer names bounce) seems to be providing a marginal risk-on impulse during the early rounds of Wednesday dealing. The Index is now up ~1% on the day. Also note that the USD/CNY mid-point fixing printed at the strongest level (in CNY terms) since mid-September, although that was broadly in line with estimates (a marginal 3 pip difference vs. the BBG survey covering the fixing). U.S. Tsy yields are off session highs, with some twist steepening becoming apparent on the curve, while the USD finds itself at the bottom of the G10 FX table and the JPY trails all remaining G10 FX peers, outside of the USD.

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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