FXStreet (Edinburgh) – In the opinion of strategists at TD Securities, developments in China will keep stealing the show in the upcoming sessions.
Key Quotes
“China remains the primary focus for markets today as the CNY has endured another round of sharp depreciation”.
“The official ‘fixing’ rate was set at 6.3306 overnight, 1.6% higher than Monday’s level”.
“The ‘onshore’ CNY peaked at 6.4498 against the USD, a four-year high, while the ‘offshore’ CNH surged as high as 6.5946; these rates have eased back modestly from their overnight peaks, but the recent developments in Chinese markets remain striking”.
“USD/CNH remains well above 6.50 at four-year highs after trading in the onshore market has closed for the day”.
“Press reports suggesting that the Chinese authorities may have intervened as local trading came to a close have helped cap gains for the day, but it remains highly uncertain how markets will behave in coming days. The next few official fixing rates will be a major focus for financial markets”.
(Market News Provided by FXstreet)