PBOC sets USD/ CNY mid-point today at 6.3272 (vs. yesterday at 6.3167)

PBOC skips OMOs today

For the week, net drain of 320bn yuan 

As the trade tensions started heating up I speculated the PBOC may slash the value of the yuan as a sort of middle finger salute to the US …. hasn’t really happened though. Yes, a weaker CNY today but recent days the PBOC have strengthened it.

Also – commodity futures in China are getting smashed … limit down for some already (rubber)

iron ore off more than 5% 

steel rebar ditto