News & Analysis at your fingertips.

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.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Bearish
Low
High
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
Wall Street
Bearish
Low
High
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
Gold
Bearish
Low
High
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
GBP/USD
Mixed
USD/JPY
Bearish
More View more
Real Time News
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.08% 🇨🇭CHF: -0.00% 🇨🇦CAD: -0.05% 🇦🇺AUD: -0.61% 🇳🇿NZD: -0.64% 🇬🇧GBP: -0.65% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/UMdcR4ZNnz
  • Canadian ban on passenger flights arriving from India and Pakistan will last for 30 days - Reuters via BBG $CAD
  • Lumber has seen a meteoric rise over the last year, as demand for new homes remains strong and bottlenecks arising from COVID shutdowns continue to weigh on supply https://t.co/de4xc0t1BA
  • Commodities Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.49% Gold: -0.57% Silver: -1.62% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/PvKjoyExIZ
  • Seasonal $USD performance over the last 10 years $USD $DXY https://t.co/X23oLOxewZ
  • Japanese candlesticks are a popular charting technique used by many traders, and the shooting star candle is no exception. Learn about the shooting star candlestick and how to trade it here: https://t.co/mfwJ0sZLTs https://t.co/tCamGDogVf
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 92.49%, while traders in Germany 30 are at opposite extremes with 69.49%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/SAhyfFIUX0
  • Intel upside remains constrained by chip shortages and supply chain disruptions - CEO
  • Intel Q1 Earnings: Revs: $19.67B vs. est. $17.86B EPS: $1.39 vs. est. $1.15 $INTC
  • Gold Price Outlook: Are Gold Bulls Back in the Driver's Seat? https://www.dailyfx.com/forex/technical/home/analysis/xau-usd/2021/04/22/gold-price-outlook-are-gold-bulls-back-in-the-drivers-seat.html $Gold
Yuan, Aussie Dollar Suffer as Chinese October PMI Underwhelms

Yuan, Aussie Dollar Suffer as Chinese October PMI Underwhelms

Megha Torpunuri,

Talking Points – USD/CNH, CAIXIN PMI, TRADE WARS, AUD/USD, FOMC

  • CNH, AUD weakened following decline in October’s PMI services and composite measures
  • Yuan pared losses after President Xi announced trade talks with Europe, decreased tariffs
  • USD/CNH may gain further on US midterm elections and FOMC rate decision this week

Get help trading the current economic conflict with ourbrief history of trade wars!

The US Dollar strengthened against the offshore Chinese Yuan after economic data crossed the wires early into Monday’s Asia Pacific trading session. October’s Caixin China PMI for the services sector clocked in at 50.8, a sharp decrease from both the 52.8 forecasted and the 53.1 prior. The composite gauge similarly disappointed, decreasing to 50.5 from September’s 52.1.

The slowdown in growth may indicate negative effects of the ongoing US-China trade war, in which President Trump fired the latest shot by alluding to continuation of tariffs and a “great deal” with China over the weekend. AUD/USD similarly decreased, as China is one of Australia’s major trading partners.

AUD/USD Chart (5-minute)

Yuan, Aussie Dollar Suffer as Chinese October PMI Underwhelms

However, the Yuan soon pared its losses as President Xi Jinping spoke following the release of these PMI figures. He announced decreased in import tariffs and an acceleration in trade talks with Europe, in addition to World Trade Organization reforms. Xi also stressed the stability of the Chinese economy and its momentum.

USD/CNH Chart (5-minute)

Yuan, Aussie Dollar Suffer as Chinese October PMI Underwhelms

USD/CNH’s gains continues its upside momentum occurring for the majority of this year, as Chinese growth has continued to slow in the wake of global trade tensions. The People’s Bank of China has attempted to offset this by launching offshore bills in Hong Kong and cutting required reserve ratios for banks in order to manage liquidity.

Looking ahead, volatility from the midterm elections in the United States will dictate most moves for the currency pair this week, possibly paving the way for more offshore Yuan losses. The currency pair also faces the release of October’s Chinese CPI, in addition to the FOMC rate decision later this week.

USD/CNH Trading Resources

--- Written by Megha Torpunuri, DailyFX Research Team

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

DISCLOSURES