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YtD Lows For USD/CNH

CHINA YUAN

Weaker USD dynamics linger in the USD/CNH cross early this week, with the rate looking through CNH6.8500, resulting in fresh YtD lows in the process.

  • The latest evolution of the Sino-U.S. tensions hasn't hampered the yuan as of yet, with some arguing that it will take a significant hit to Chinese capital flows or a stronger round of polling for U.S. Presidential Trump re: the upcoming election for such matters to really factor into yuan valuations.
  • Official Chinese PMI data revealed little fresh information re: the health of the Chinese economy.
  • USD/CNH's next level of support is seen at the 38.2% retracement of the move from the 2018 low to the 2019 high, which lies at CNH6.8296.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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