With the Chinese onshore RMB fix still the big Asian session focus, the fact that yesterday’s number came in 200 points below expectation was huge. Chinese authorities are flexing their muscles and showing they have very deep pockets in a bid to prove that the market is able to trade in both directions. This was all about discouraging traders from shorting the offshore currency. By increasing borrowing costs to astronomical levels, the PBOC intends to squeeze out the shorts with this huge
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