PBoC sets USD/CNY mid-point at 6.8880 (Prev. 6.9025)

The PBoC's recent adjustment of the USD/CNY mid-point to 6.8880 from 6.9025 indicates a proactive move to strengthen the yuan.

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[MARKET UPDATE] Oil and USD gains, while US index futures, T-note futures and gold declined following Trump's primetime address where he said they must complete the mission in Iran and threatened to hit Iran's electric plants if there is no deal

PBoC injects CNY 0.5bln via 7-day reverse repos with the rate at 1.40%

PBoC sets USD/CNY mid-point at 6.8880 (Prev. 6.9025)

US President Trump says will hit Iran's electric plants if there is no deal, adds we could hit their oil, we have all the cards and they have none

US President Trump says strategic objectives are nearing completion, must complete mission in Iran and will finish the job very fast, adds Iran can never be trusted with nuclear weapons

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Context

This shift may reflect the central bank's efforts to manage currency stability amid global economic pressures, potentially influencing capital flows and impacting investor sentiment across Asia. Watch for implications on risk assets and any adjustments in monetary policy expectations as markets digest this change.

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