Wednesday, December 7, 2016

Should CNY Be Weaker Than It Is?





Should CNY Be Weaker Than It Is?
by Saktiandi Supaat


FX Research





China FX reserves are due today and tightening domestic liquidity suggest significant effort by the central bank to defend the yuan and a bigger drop in the FX reserves for Nov compared to Oct. Consensus expects a drop of around USD60bn. Later in the evening, RBI is expected to shave 25bps off repo rate to bolster growth against India’s demonetisation project.

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