Offshore Yuan Jumps Strongly After U.S. Stocks Fall

The yuan traded in Hong Kong jumped the most in almost four months after a drop in U.S. stocks weakened the greenback.

The Standard & Poor’s 500 Index (SPX) closed at a seven-week low, while the Bloomberg Dollar Spot Index declined the most in two weeks today after rising the most since 2012 in September. U.S. employers added 215,000 jobs last month, compared with 142,000 in August, according to a Bloomberg survey before data due tomorrow.

“The market has realized there’s a risk of payrolls coming out a bit on the weak side because the market has priced in a strong number,” said Irene Cheung, a Singapore-based strategist at Australia & New Zealand Banking Group Ltd. “The dollar index is still strong but there’s some retracement, and the stock market continues to come off in the U.S.”

Bloomberg

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