|Day's Range||0.144 - 0.145|
|52 Week Range||0.1433 - 0.1556|
Today’s positive US data seemed to mitigate the speculations over a probable Fed rate cut. Fiber dropped 0.66% reaching near 1.1214 levels amid Greenback upsurge and weak German & Italian data.
Downside for U.S. corporate earnings from China, Mexico trade war should be minimal, writes Mark Hulbert.
The cost of imported goods fell in May, reflecting a decline in the prices of most foreign-made goods including those coming from China that have been hit with U.S. tariffs. The import price index dropped 0.3% last month.
ECB President Mario Draghi commented today that the Central and Eastern Europe remains vulnerable to the trade war headwinds. Weak EIA Crude data resulted in a decline of Oil prices.
In a MarketWatch interview, emerging-markets pioneer Mark Mobius says it’s important to focus on companies in developing countries that are focused on homegrown demand as heightening trade tensions and other geopolitical risks threaten global trade growth.
US JOLTS Job Openings data came out as 7.449 million over 7.240 million expectations. Mexican Peso soared more than 2% over US-Mexico trade deal. Investors seemed to lose interest over Cable, Euro, and Yen.
Now all investors’ attention again turned to disputes between China and the United States, and markets are hoping for a breakthrough in negotiations after Trump and Xi Jinping meet on the G20 (June 28-29).
China is confident of keeping the yuan basically stable at reasonable and balanced levels, Yi Gang, the governor of the People's Bank of China (PBOC) told a meeting recently, state media reported on Tuesday. Yi has become the latest senior official to join a verbal campaign reminding markets about China's exchange rate policy after the yuan experienced sharp declines recently by losing more than 2.5 percent to the dollar since a major escalation in the Sino-U.S. trade tensions earlier this month.
China's banking and insurance regulator said on Saturday it did not expect a persistent decline in the yuan and warned speculative short sellers they would suffer "heavy losses" if they bet against the currency. The yuan has lost more than 2.5% against the dollar since the festering China-U.S. trade dispute intensified earlier this month. It is now less than a tenth of a yuan away from the 7-per-dollar level authorities have in the past indicated as a floor.
As China's yuan slips to historically weak levels against the dollar, the central bank's atypical light touch is spurring speculation that policymakers want to be more judicious in their intervention and have no specific target for the currency. Fiscal stimulus and monetary easing would be required to support China's economy," they said.
A popular gauge of the U.S. dollar on Wednesday hangs near its highest level in about three weeks, with investors awaiting an account of the Federal Open Market Committee’s most recent policy gathering, which holds the potential for a fresh catalyst for bucks.
China's yuan inched lower against the dollar on Wednesday, but the overall downward pressure on the local currency was mild as the central bank signaled its determination to prevent any sharp falls. The yuan has dropped more than 2.5 percent since U.S. President Donald Trump said on May 5 he will raise tariffs on $200 billion of Chinese imports to 25% from 10% previously, in a major escalation of a trade dispute between the two economic giants. On Tuesday night, the People's Bank of China (PBOC) said it will issue yuan-denominated bills in Hong Kong in the near future, which analysts said was designed to tighten offshore liquidity to stabilise the weakening currency.
The Turkish lira on Tuesday was retreating against the U.S. dollar as the government told local banks to slow process currency purchases, a fresh attempt to tamp down speculative bets on lira, according to reports.
HONG KONG/SHANGHAI (Reuters) - China's central bank said on Tuesday it will issue yuan-denominated bills in Hong Kong in the near future, in a move analysts said was designed to tighten offshore liquidity to stabilise the weakening currency. The announcement came after the People's Bank of China sold 20 billion yuan ($2.90 billion) of bills in Hong Kong last week. The central bank had tapped the market every three months with the same deal size and structure since November.
Potential gold investors are being left frustrated and sidelined by the yellow metal’s lack of momentum despite an escalating trade war, heightened concern about stability in the Middle East, recent stock market gyrations and the decline of bond yields towards an 18-month low.
China's yuan firmed against the dollar on Tuesday, as sentiment improved slightly after Washington temporarily eased restrictions on Huawei, while a firmer-than-expected official midpoint discouraged bets against the renminbi. The U.S. government on Monday allowed Huawei Technologies Co Ltd to purchase American-made goods in order to maintain existing networks and provide software updates to existing Huawei handsets until Aug. 19. The yuan has dropped around 2.5 percent since U.S. President Donald Trump said on May 5 he was going to raise tariffs on $200 billion of Chinese imports.
The British pound remains under pressure as talks between the U.K.’s Conservative and Labour parties collapse without an agreement on how to pursue Brexit. Meanwhile, the Japanese yen finds support as trade-war concerns put renewed pressure on global equities.
SHANGHAI/BEIJING (Reuters) - China's central bank will use foreign exchange intervention and monetary policy tools to stop the yuan weakening past the key 7-per-dollar level in the near-term, three people familiar with the central bank's thinking said. A defence of the 7 level could help boost confidence in the currency and soothe investor fears about a sharp depreciation in the yuan, or renminbi, even as souring trade relations with Washington make competitive devaluation a compelling option for Beijing. "Breaking 7 is beneficial to China because it can reduce some of the effects of tariff increases, but the impact on our renminbi confidence is negative and funds will flow out," the source said.
Crescat Capital enjoyed a huge year in 2018, capitalizing on the December market tumble to post a 41% annual return for its flagship hedge fund — that was good enough to make it one of the biggest winners out there. Can it repeat?
The Greenback slipped drastically over poor US April Retail Sales figures. USD/CNY pair got elevated earlier the day underpinned weaker-than-expected Chinese data.
Between Trump tweets and Chinese whispers via state-controlled media, it can be difficult to pinpoint precisely where things stand in the ongoing battle between the world’s two economic superpowers. Christopher Dembik says the CNYUSD rate is the best proxy we have. Here’s why.
HONG KONG/SHANGHAI (Reuters) - Chinese stocks skidded further on Tuesday and the onshore yuan fell to its weakest level of the year as the Sino-U.S. trade war intensified. Markets managed to claw up from early lows, however, with shares buoyed by suspected state-backed buying and comments from U.S. President Donald Trump that raised hopes the two sides would eventually reach a trade deal.