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China: Stocks take a big hit but not alone this time

Written by By Valeria Bednarik | 2018-10-11 14:03:00 GMT
  • The downward pressure on the CNY continued after China cut the Reserve Requirement Ratio for the third time this year. We expect the trend of a weaker CNY to continue and USD/CNY to hit 7.20 in 12 months. However, we doubt the US will label China as a currency manipulator in its report next week.

  • Bond yields and rates have been broadly stable lately.

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