◂ Event Timeline

Aug 31, 2018MACROChina

Liquidity fears cause renewed concerns for China's central bank

Chinese money markets face liquidity pressure in September from quarter-end funding needs and local government bond issuance, with liquidity needs possibly near 980 billion yuan. The PBOC must add liquidity without triggering yuan weakness.

WHY IT MATTERS

Currency pressure from tighter liquidity can weigh on the yuan and dampen Chinese import demand for feed ingredients, adding uncertainty to dollar-priced feed purchases.

AFFECTSChinese Yuan (CNY per USD)◆

SOURCE
thenationalnews.comBloombergAug 31, 2018

Price reaction & history

Chinese Yuan (CNY per USD)◆neutralSO FAR1d -0.2%5d +0.0%20d +0.4%

After 169 past neutral macro events, Chinese Yuan (CNY per USD) moved a median +0.0% over 5 sessions (50% higher; middle half -0.3% to +0.2%), and -0.0% over 20.

Sep 29, 2022'Do not bet': China's central bank PBOC warns against yuan speculation-1.2%
Aug 17, 2017Markets still bewildered after China central bank explains yuan 'X'-factor - The Business Times-0.5%
Feb 22, 2024China’s ‘renminbi trap’: The economy needs a weaker currency, but Beijing is unable to act | Chatham House – International Affairs Think Tank+0.1%
Apr 19, 2021Global Reflation Trade Gains New Momentum From China’s Yuan - Bloomberg-0.4%
Oct 1, 2023China’s Golden Week May Spur Volatility for Yuan at ‘Red Line’0.0%

Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.

Chinese Yuan (CNY per USD) USDCNY · GP ▸

——— · ·

Loading…