CNH: USD/CNY Fixing - Another Low For 2025, Fixing Error Stays Wide

The USD/CNY fix printed at 7.1460, versus a Bloomberg market consensus of 7.1640. 

• The fixing outcome was a fresh low for this most recent cycle. We have to go back to early Nov last year for lower fixing levels.
• The error term was tighter, back at -180pips, which is consistent with fresh USD softness in recent sessions.
• USD/CNH is little changed in the first part of Tuesday dealings, last holding above 7.1700. 

• CHINA SETS YUAN CENTRAL PARITY AT 7.1460 TUES VS 7.1522

US stocks closed poorly off some All-time highs overnight. This morning has seen US futures open slightly higher, ESU5 +0.07%, NQU5 +0.03%. The AUD has started to turn lower in the crosses albeit within its recent ranges.

• EUR/AUD - Overnight range 1.7855 - 1.7930, Asia is currently trading around 1.7925. The traded weakly on the crosses overnight, EUR/AUD looks to be trying to build a base from which to test back above 1.8000 again.
• GBP/AUD - Overnight range 2.0605 - 2.0682, Asia is trading around 2.0680. The pair bounced nicely off its support around 2.0500 and last week but has found some good supply in exactly the right spot towards the 2.0800 area. This pair is also now back within its wider 2.0450 - 2.1050 range, but with the AUD trading soft watch for any move back above the 2.0800 area acting as the pivot. This could signal a fresh move back towards the 2.1000/50 area.
• AUD/JPY - Overnight range 96.05 - 96.58, Asia is trading around 96.20. The pair continued to trade heavily overnight. The support is seen between 95.00 - 96.00 and expect demand on dips to materialise first up.
• AUD/NZD -  Overnight range 1.0920 - 1.0935, the cross is dealing in Asia around 1.0935. The cross moved higher in response to the NZ CPI. Dips back to 1.0850/1.0900 should continue to find support as the pair tries to build momentum to move higher.

Fig 1: GBP/AUD spot 120min Chart

Source: MNI - Market News/Bloomberg Finance L.P