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USDCNH trades broadly flat at 6.8810.....>

CHINA YUAN
CHINA YUAN: USDCNH trades broadly flat at 6.8810 after falling back from its
highs yesterday amid a recovery in global risk appetite. The pair has remained
relatively stable in the face of growing risks to the US-China trade ceasefire
in the wake of the Huawei executive's arrest, with the pair holding below the
50-dma resistance level yesterday. 
- EURCNH managed to break back above neckline support-turned-resistance at 7.8
yesterday but the broader bearish trend remains intact. 
- Chinese rate markets are seeing some upside pressure today as equity markets
recover, helping US-China yield spreads to narrow slightly. 

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