MNI BRIEF: Fed's Goolsbee Taking Job Gains With Grain Of Salt

BRIEF: EU Says Engaging With China Over EV Trade Dispute

MNI BRIEF: Draghi Calls For Tariffs, Subsidies Against China

MNI BRIEF: China May M2 Slows To Record Low Again

MNI: PBOC Conducts CNY2 Bln Via OMO Fri; Liquidity Unchanged

CHINA PBOC INJECTS CNY2 BILLION VIA 7-DAY REVERSE REPOS FRI

US Treasury Auction Calendar

MNI: BAKER HUGHES US RIG COUNT 590; OIL RIGS 488; GAS RIGS 98

EZ/UK Bond Supply Calendar: Slovakia, Belgium, BoE APF Monday

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

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

MNI: Growth Drag From Net Zero Carbon Goal Can Be Offset-OECD

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

USD/CNH Dips Supported Amid Tight Ranges, Equity Rally Loses Some Steam

CNH
EM BulletFixed Income BulletsHomepageBulletMarketsEmerging Market NewsForeign Exchange Bullets

USD/CNH Tuesday ranges were less than 100pips in aggregate. We track close to recent highs in early Wednesday dealings, last near 7.2475. Highs from the start of May around 7.2550 remain intact. Onshore USD/CNY spot finished up at 7.2376, off earlier highs above 7.2400.

  • The local data calendar is empty today, although we may get April FDI figures between now and the 24th. Tomorrow delivers Swift global payments in CNY, not typically a market mover, before industrial profits print early next week.
  • Yesterday's USD/CNY fix was the highest since late Feb, albeit only marginally above recent levels. The fixing result yesterday saw a brief USD/CNH move higher but there was no follow through.
  • Some sell side analysts expect the fixing outcome to remain relatively steady given strong capital outflow pressures.
  • In terms of CNH liquidity, deposit rates are comfortably recent highs, the 1 day around 2%.
  • In the equity space, some of the recent rebound has lost impetus. The CSI 300 index finished down 0.4% yesterday. In US trade on Tuesday, the Golden Dragon index fell 2.27%.
176 words

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.

USD/CNH Tuesday ranges were less than 100pips in aggregate. We track close to recent highs in early Wednesday dealings, last near 7.2475. Highs from the start of May around 7.2550 remain intact. Onshore USD/CNY spot finished up at 7.2376, off earlier highs above 7.2400.

  • The local data calendar is empty today, although we may get April FDI figures between now and the 24th. Tomorrow delivers Swift global payments in CNY, not typically a market mover, before industrial profits print early next week.
  • Yesterday's USD/CNY fix was the highest since late Feb, albeit only marginally above recent levels. The fixing result yesterday saw a brief USD/CNH move higher but there was no follow through.
  • Some sell side analysts expect the fixing outcome to remain relatively steady given strong capital outflow pressures.
  • In terms of CNH liquidity, deposit rates are comfortably recent highs, the 1 day around 2%.
  • In the equity space, some of the recent rebound has lost impetus. The CSI 300 index finished down 0.4% yesterday. In US trade on Tuesday, the Golden Dragon index fell 2.27%.