Ahead of the daily mid rate setting, comments from TD on the People's Bank of China
expect further RRR cuts in the months ahead consistent with easing across Asia
PBoC is likely to remain cautious towards a benchmark rate cut
In line with this, we remain focused on the CNY as the obvious avenue for China to ease its monetary conditions. The RRR cuts taken together with weak trade data are likely to mean that any retracement in USDCNY will be limited and shortlived.