Technical Analysis

PBOC sets USD/ CNY mid-point today at 7.1667 (vs. estimate at 7.1529)

People’s Bank of China set the onshore yuan (CNY) reference rate for the trading session ahead.

USD/CNY is the onshore yuan. Its permitted to trade plus or minus 2% from this daily reference rate.
CNH is the offshore yuan. USD /CNH has no restrictions on its trading range.
A significantly stronger or weaker rate than expected is typically considered a signal from the PBOC.
The previous close was 7.1690

PBoC injects 2bn yuan of 7-day reverse repos at an unchanged rate of 2.0%

172bn yuan of RRs mature today

thus a net 170bn yuan drain on the day

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button