USD/CNH Tracks Higher Amid Broad Dollar Gains

(MNI Australia) USD/CNH continued to track higher post the Asia close. We got close to 6.7450 in NY trade, but now sit back around the 6.7350 level. Broader USD sentiment was firmer, as both EUR and GBP fell, as markets focused on the possibility of these central banks pivoting as we progress through 2023. The CNY NEER eased for Thursday's session, down 0.15% to 125.32 (J.P. Morgan Index).

• On the data front, the Caixin services PMI is out, 51.0 expected, versus 48.0 prior. Recall earlier in the week the official services PMI rose strongly to 54.4, although the Caixin prints tend to be more orientated towards smaller firms, which may not have experienced the same degree of recovery in January.
• Elsewhere, US Secretary of State Blinken is expected to meet with China President XI Jinping during a trip to China that commences this Sunday. This comes amid reports that a suspected China spy balloon is crossing over the United States, which is being monitored by the military.
• In the equity space, the China Dragon Index fell 1.26% in US trade for Thursday, while yesterday onshore equities were down slightly in terms of the CSI 300 (off 0.35%).