USD/CNH jumps to 14-year high above 7.2200 as PBOC tries to tame recession woes – by anilpanchal7 USDCNY RiskAppetite PBOC Recession China
nk of China , global fears surrounding the dragon nation’s economic health and the technical breakout contributed to the offshore Chinese yuan’s latest run-up.injections via reverse repo operations to keep month-end liquidity reasonably ample and stabilize money market interest rates, the China Securities Journal reported, per Reuters.
On Tuesday, the World Bank’s downbeat economic forecasts for China and chatters that the dragon nation called key market players to defend the equities also printed vulnerabilities in the economy of the world’s biggest commodity user. That said, the World Bank said China was projected to grow 2.8% this year, a significant deceleration from its previousElsewhere, fears emanating from the European energy crisis, upbeat US data and mixed Fedspeak seem to underpin the USD/CNH upside.
Looking forward, a speech from Fed Chair Jerome Powell may entertain the pair buyers if he speaks about matters relating to the monetary policy.A clear upside break of the 7.1960-70 hurdle comprising the tops marked in 2019 and 2020 keeps the USD/CNH buyers hopeful of approaching the 61.8%