Free Trial

USDCNH continues to trade in choppy......>

CHINA YUAN
CHINA YUAN: USDCNH continues to trade in choppy fashion, up slightly on the day
at 6.9288, with the 50-dma coming in just below current levels. A break and
close below here would mark the first such move since April and suggest bearish
momentum is building. 
- The lack of upside pressure resulting from US VP Pence's hawkish comments on
US-China trade relations on Sunday is a positive sign for the yuan, as is the
recent drop in US yields on the back of Friday's dovish Fed member comments. 
- With 2-year China rate swaps up 3bps today at 2.81%, the US-China rate spread
has dropped to 19.4bps down to 1-month lows. 
- With no major economic releases this week the focus will remain on trade
comments as the month-end Trump-Xi meeting approaches. 

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.