MNI BRIEF: R-Star Likely Rose Post-Pandemic -NY Fed Blog

MNI BRIEF: Inflation Risks Skewed To Upside - Fed's Musalem

MNI BRIEF: Fed's Musalem Calls For Patient Approach To Policy

MNI BRIEF: Republicans Urge Filling Fed Supervision Slot Soon

MNI BRIEF: US Factory Prices On The Rise Again - ISM

MNI China Daily Summary: Monday, March 3

EZ/UK Bond Supply Calendar: Belgium Syndication, NE DDA

EZ/UK T-Bill Calendar: Spain, Belgium, ESM Auction on Tuesday

MNI: US JAN CONSTRUCT SPENDING -0.2%

GERMANY: Official Interim Election Results Tilt Towards Missing BSW & FDP

GERMANY: Economy Ministry Lowers 2025 Growth Forecast As Expected

© 1982-2025 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

CNH: USD/CNH Firms Amid Broader USD Gains, Dip Sub 100-day EMA Supported

CNH
EM BulletAPACChinaEmerging Market NewsBulletMarketsFixed Income BulletsForeign Exchange Bullets

USD/CNH has drifted higher in the first part of Tuesday trade. We were last near 7.2760. We are sub the 20 and 50-day EMA resistance points, both in the 7.2850/00 region. However, the recent test sub the 100-day EMA has proven false at this stage. This support point, which also had some false breaches in Jan, rests close to 7.2600.

  • Yuan weakness is also evident onshore, but the CNH-CNY basis is minimal. Broader USD trends are weighing, with the BBDXY index up a little over 0.20%, the DXY, +0.35%. CNH is lagging these trends though, only off near 0.15% at this stage.
  • This fits with the low beta with respect to USD moves.
  • China equities are mostly higher, although Hong Kong markets, particularly on the tech side are outperforming. This follows the recent meeting between China President Xi Jinping and key private sector business leaders, with hopes of closer ties between this sector and the government.
  • The equity outperformance is not aiding CNH so far today, with broader USD trends/Higher Tsy yields offsetting.
  • Tomorrow on the data front we have Jan home prices. 
182 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 has drifted higher in the first part of Tuesday trade. We were last near 7.2760. We are sub the 20 and 50-day EMA resistance points, both in the 7.2850/00 region. However, the recent test sub the 100-day EMA has proven false at this stage. This support point, which also had some false breaches in Jan, rests close to 7.2600.

  • Yuan weakness is also evident onshore, but the CNH-CNY basis is minimal. Broader USD trends are weighing, with the BBDXY index up a little over 0.20%, the DXY, +0.35%. CNH is lagging these trends though, only off near 0.15% at this stage.
  • This fits with the low beta with respect to USD moves.
  • China equities are mostly higher, although Hong Kong markets, particularly on the tech side are outperforming. This follows the recent meeting between China President Xi Jinping and key private sector business leaders, with hopes of closer ties between this sector and the government.
  • The equity outperformance is not aiding CNH so far today, with broader USD trends/Higher Tsy yields offsetting.
  • Tomorrow on the data front we have Jan home prices.