• To inject 10 bn yuan through 7-day reverse repos
  • To inject 10 bn yuan through 14-day reverse repos
  • To inject 10 bn yuan through 28-day reverse repos

Higher USD/CNY ... i.e. a weaker yuan today from the Bank.


A few China headlines crossing today:

China finance minster says looking at plan for personal income tax freeform

  • Tax breaks for some household spending
  • Thinking of changing threshold to waiver personal income tax


As a ps., further on China's new GDP target announced over the weekend:

China's Premier Li Keqiang said GDP growth would hit "around 6.5%", but ... "try to achieve a better result"

Says Goldman Sachs analyst Yu Song says the 'try' for better might even suggest a lower than 6.5% is acceptable:

  • "These subtle changes may be indications that the growth target is being guided lower, but very gradually"

TBH that is not really new or insightful information ... Chinese GDP growth expectations have been being guided lower for years now ... as have results.

And its not necessarily anything nefarious, as the size of the economy grows and it matures, higher rates of growth are more difficult to achieve. Lower GDP growth in China, get used to it.