Suspected intervention by the People’s Bank of China drove the cost of borrowing the currency offshore to a seven-month high on Thursday, making it more expensive to short the yuan. The authorities will prevent the exchange rate from weakening beyond 6.7 per dollar anytime soon, according to Svenska Handelsbanken AB, the yuan’s top forecaster. A breach of that level may trigger sharp moves and embolden bears, said Scotiabank. The onshore currency closed at 6.6650 on Thursday.This anchors the 6.70 level and increases the volatility of the expected move when it is finally breached. The key area is around 6.84, once that level is breached all of the post-2008 yuan appreciation will be reversed.
“There’s a strong expectation for the yuan to decline, so if the exchange rate breaks a round-number level like 6.7, sentiment could take a hard hit," said Tommy Ong, managing director for treasury and markets at DBS Hong Kong Ltd. "The Hong Kong borrowing rate jumped probably because the PBOC drained liquidity from the offshore market. This can be taken as a hint that it won’t allow any one-way bets."
被前妻举报违纪武汉主任医师 时隔两月“履新”引质疑
-
武汉大学人民医院胰腺外科主任医师、武汉大学教授汤志刚,遭前妻举报常年嫖娼、赌博、收回扣被撤职两个月后,被武汉市 […]...
No comments:
Post a Comment