During early Asian trade, yields of U.S. benchmark 10-year Treasury notes were up at 2.3387 percent, while 30-year Treasury bond yields were at 3.0158 percent.
The People’s Bank of China set Monday’s yuan mid-point fix at 6.8985 yuan per dollar, compared with the last close at 6.888. The dollar/yuanwas trading at 6.895 as of 3:46 pm HK/SIN. That was its weakest since weakest since at least January 2009, during the global financial crisis.
“We are approaching the psychological 7 dollar/yuan level and predictable rumblings from Chinese policy makers are making the rounds, suggesting that the 7.00 level could be the ‘next line in the sand,'” said Stephen Innes, senior trade at Oanda, in a note on Monday
“U.S. fixed income ratcheting higher while the Bank of Japan maintains its de facto zero percent peg in 10-year Japanese Government Bonds (JGBs). This underlying divergence will continue to support dollar/yen higher,” said Stephen Innes, senior trade at Oanda, in a note on Monday
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