MNI Brief: China Third Plenum To Deepen Reforms

MNI: PBOC Net Injects CNY80 Bln Via OMO Thurs; Rates Unchanged

CHINA PBOC CONDUCTS CNY100 BILLION VIA 7-DAY REVERSE REPOS THURS

MNI: PBOC Sets Yuan Parity Higher At 7.1270 Thurs; -0.78% Y/Y

CHINA SETS YUAN CENTRAL PARITY AT 7.1270 THURS VS 7.1248

MNI BRIEF: China Yuan Supported By Exports, Short Swing Sees

ANZ Business Sentiment Mixed, Price Measures Trending In The Right Direction

Job Vacancies Continue To Correct Lower, Inflation Expectations Tick Up

Business Sentiment Eases, But Export Outlook Ticks Higher

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

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

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

USD/CNH Back Sub 7.1900, Equity Trends To Remain In Focus

CNH

USD/CNH generally found selling interest above or near the 7.1950 region through Monday's session. The pair tracks near 7.1870 in early Tuesday dealing, little changed in aggregate for Monday's session. USD/CNY finished just above 7.1800, while the CNY NEER (J.P. Morgan Index) was a touch higher (0.05%) at 124.18.

  • Note the simple 200-day MA comes in near Monday highs (close to 7.1960). The 100-day EMA sits slightly higher near 7.1990.
  • The yuan saw modest benefit from the lower US yield backdrop, but USD/CNH remains within recent ranges. The correlation of USD/CNH and US-CH yield differentials doesn't appear that strong of late.
  • Bloomberg also noted state banks were leaning against yuan depreciation pressures yesterday, as fallout from the wind up order for Evergrande weighed on broader sentiment.
  • To recap, the CSI 300 closed down 0.90% for Monday trade, the Shanghai Composite off by a similar amount. In US Monday trade, the Golden Dragon index lost a little over 1%.
  • We are likely to see equity trends remain in focus today, given recent efforts to support sentiment. Local wires noted yesterday that China will guide listed SOEs to focus on market performance/valuation, with an eye on better rewards for investors.
  • The data calendar is empty today, with January PMIs on tap tomorrow.
EM BulletFixed Income BulletsHomepageBulletMarketsEmerging Market NewsForeign Exchange Bullets

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.