USD/CNH last trades at CNH6.9338, ~50....>

CHINA YUAN: USD/CNH last trades at CNH6.9338, ~50 pips higher on the day, even

as stronger than exp. fixing from the PBoC likely caps gains. The rate is

supported by comments from ex-PBoC Gov Zhou, who said that yuan may be pressured

if China suffers from export loss, while trade war could trigger global currency

depreciation.

- The central bank set its central yuan mid-point at CNY6.8937 vs. forecasts of

CNY6.9083, as it continues to fix yuan below CNY6.9000 vs. USD.

- Chinese MOFCOM informed that Beijing has raised anti-damping duties on

seamless steel tubes from the U.S. and EU.

- Bullish focus falls on the CNH6.9500 mark, which comes ahead of the YtD peak,

located at CNH6.9625. Bears look to the nearby 21-DMA, which comes in at

CNH6.9303, before challenging CNH6.9152-60, which limited losses on Jun 3-5.

Below here opens CNH6.8951, which represents the 23.6% fibo retracement of the

rally from CNH6.6771 to CNH6.9625.

- A batch of Chinese data, including industrial output, unemployment and retail

sales, takes focus today.