USD/CNH starts the week slightly on......>

CHINA YUAN: USD/CNH starts the week slightly on the back foot after U.S.

Treasury responded to an earlier BBG report and stated that there are currently

no plans to block Chinese firms from listing on U.S. exchanges.

- The clarification was issued on Saturday, a day after BBG cited sources

claiming that the White House is looking into ways of curbing U.S. investors'

portfolio flows into China, with delisting Chinese companies from U.S. bourses

being one of the options on the table. The report triggered a spike higher in

USD/CNH Friday, briefly sending the pair above CNH7.1500.

- The rate last deals at CNH7.1326, ~55 pips worse off. Bears keep an eye on the

trendline support at CNH7.1220. A break below would support their case, bringing

the CNH7.1000 mark into view. Bulls would be pleased by the unwinding of the

early dip followed by a rally above Friday's peak at CNH7.1515, which in turn

would turn focus to the upper Bollinger band (2%) at CNH7.1713.

- China's Official PMI numbers and Caixin m'fing PMI will be published later

today. On Tuesday, China begins its week-long holidays to celebrate the 70th

anniversary of the founding of the People's Republic.