We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
More View more
Real Time News
  • This week's ECB meeting minutes should be interesting to watch especially in light of the US-China #tradewar. Stay tuned for more in-depth analysis.
  • You also have to take into account the demographic factor whereby the wide-spread graying of Europe (and soon the US) will further sap inflationary pressure. As people age, they spend less of their income because unlike their younger years, they aren't trying to accumulate stuff.
  • Europeans are going to have to find a way to reconcile that because cutting rates deeper into negative territory I don't think is going to give the same stimulative effect as when rates were higher. Plus they've already got QE going on indefinitely.
  • "Policymakers therefore have to find a way to reconcile maintaining the institutional integrity of the growth and stability pact – in order to prevent states from flirting with sovereign debt crises and wrecking the Eurozone – and letting members exercise greater fiscal autonomy"
  • Commodities Update: As of 21:00, these are your best and worst performers based on the London trading schedule: Silver: 0.43% Gold: 0.19% Oil - US Crude: -0.21% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/FnkOcMGqdx
  • $EURUSD Daily Pivot Points: S3: 1.0957 S2: 1.0999 S1: 1.1026 R1: 1.1069 R2: 1.1084 R3: 1.1126 https://www.dailyfx.com/pivot-points?ref=SubNav?utm_source=Twitter&utm_medium=DFXGeneric&utm_campaign=twr
  • RBNZ's Hawkesby says the OCR should be kept at a low level for some time $NZDUSD
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.36%, while traders in France 40 are at opposite extremes with 83.29%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/K83nKB5PJq
  • Precious Metals Update: #Gold 1471.74 (+0.23%), #Aluminum 1755.00 (+0.80%), and #Copper 5849.00 (+0.64%) [delayed]
  • Event risks for the remainder of the week includes ECB's Financial Stability Review, $CAD Consumer Confidence, #USD FOMC Meeting Minutes, $JPY CPI reading, and ECB President Lagarde will speak in Frankfurt Check out our economic calendar to stay current on the latest releases https://t.co/8Jl5Va6CiQ
China's Market News: PBOC Releases First SDR-Denominated Foreign Reserves Figure

China's Market News: PBOC Releases First SDR-Denominated Foreign Reserves Figure

2016-04-07 19:19:00
Renee Mu, Currency Analyst

This daily digest focuses on market sentiment, new developments in China’s foreign exchange policy, changes in financial market regulations and Chinese-language economic coverage in order to keep DailyFX readers up-to-date on news typically covered only in Chinese-language sources.

- China’s central bank published the first SDR-denominated foreign reserves figure.

- Chinese local analyst expects additional drops in foreign reserves in the long term despite the March increase.

- Alibaba becomes the largest retail company in the world with a daily sales volume of $1.3 billion.

To receive reports from this analyst,sign up for Renee Mu’ distribution list.

PBOC News: China’s Central Bank.

- China’s Central Bank announced on April 7 that the regulator starts to release foreign reserves data denominated in both the US Dollar and Special Drawing Rights (SDR) this month. The regulator said that the SDR, a basket of currencies, tends to be more stable than individual currencies and thus it helps to reduce valuation changes caused by large fluctuations in specific major currencies. With this modification, foreign reserve figures can be more objective and this can also improve the role of SDR as a unit of account.

Though PBOC did not mention it, introducing a SDR-denominated data will help to improve the Chinese Yuan’s role as well, as the currency has been approved to be included in the SDR basket last November. On October 1, 2016, Yuan will officially join the basket.

Hexun News: Chinese leading online media of financial news.

- China’s foreign reserves increased $10.258 billion to $3.3126 trillion in March, the first increase since November 2015. The March foreign reserves were 2.28 trillion in SDR.

China Minsheng Bank Chief Analyst, Wen Bin commented that after the Lunar New Year, Yuan rates in both onshore and offshore markets have seen improvement. Seasonal increase in demand of foreign exchange and increases driven by panic have reduced and therefore, helped to narrow drops in foreign reserves.

Longer term, however, many local analysts believe that the foreign reserves will continue to drop. Tsinghua University Research Center Head, Liu Taoxiong, said that China does not need to hold such a large amount of foreign reserves as it will not benefit the country. He believes that the probability of seeing further drops in foreign reserves in the long term is high.

Sina News: China’s most important online media source, similar to CNN in the US. They also own a

Chinese version of Twitter, called Weibo, with around 200 million active usersmonthly.

- China Everbright Bank and Boston Consulting Group issued a joint report on the performance and outlook of China’s asset management market. As the end of 2015, the total amount of assets under professional management was approximately 93 trillion yuan. The average compound annual growth rate (CAGR) was 51% over the past three years. In year 2020, the total amount is expected to increase to 174 trillion yuan. Excluded channel business, the total amount is expected to increase to 149 trillion yuan, with an average CAGR of 17% from 2015 to 2020.

In terms of sources of funds, funds from financial institutions have taken up 40%, but this is lower than the global average of 60%. However, with the development of pension funds, the proportion of funds from financial institutions will increase. In terms of asset management institutions, commercial banks will still be the main participants in this market over the following five years.

China Finance Information: a finance online media administrated by Xinhua Agency

- Alibaba Group Holding Ltd, the Chinese giant online marketplace company, announced on April 6th that it has surpassed Walmart and become the largest retail company in the world as of its fiscal year end on March 31, 2016. According to Alibaba, as of March 21, 2016, the total sales volume in 2016 has hit 3 trillion yuan ($475.89 billion), which means the daily sales volume in 2016 was roughly $1.3 billion. The giant online marketplace company has contributed approximately 10% of the total retail sales in China and has directly provided 15 million jobs and 30 million jobsindirectly. Alibaba said its target is to increase its sales to 6 trillion yuan by 2020.

Written by Renee Mu, DailyFX Research Team

To receive reports from this analyst,sign up for Renee Mu’ distribution list.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.


News & Analysis at your fingertips.