Tuesday, 21 January 2014

China PBoC Liquidity Add Helps Equity Markets To Recover

Notes/Observations

China PBoC conducted 7-day and 21-day reverse repos to satisfy demand ahead of Lunar New Year Holiday. This was first injection after 7 consecutive halted operations and biggest injection since Feb 2013; Shibor fixings fall as a result and allowing Asian equity markets to recover

Commodity currencies failed to gain any support from China's injection of liquidity

German ZEW Survey comes in mixed but current conditions confirm expectations of an economic upswing

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