Free Trial

USD/CNH Back To 7.2500 Handle As Higher Local Covid Cases Weigh

CNH

USD/CNH is close to session highs, last just above the 7.2500 level. There have been some offers around this level, still we are around +0.30% above NY closing levels in the pair. Note highs from late yesterday came in near 7.2600. Onshore spot is largely following suit, last around 7.2470.

  • The 6-month high in the onshore Covid cases is likely weighing on sentiment and diminishing hopes of any near-term major shifts around Covid-zero.
  • HK/China related equities are mostly underperforming as well, down between -0.50-1.20% at this stage.
  • The CNH is underperforming the majors modestly, and some parts of Asia FX. Higher USD/CNH levels have curbed the rally in some Asian currencies though. USD/KRW is back into a 1386/87 range, up from earlier lows (close to 1384). Spot USD/TWD is back above 32.00 as well.

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.