There are worse places to be than in the passenger seat today
The only news we've had (PBOC keeping on providing liquidity and Chinese authorities encouraging State Pension Fund to buy, buy, buy) were both shrugged off by a market intent on selling Chinese stocks. Most recently, extending collateral availability for farmers has seemed to coincide the a cessation of the smashing, though).
Meanwhile, through it all ...
EUR and JPY are both extending their gains
Why is the euro up, you ask?
The 'EUR as a funding currency' idea has taken off in the past few days, giving it a bid, as well as what I've called previously good old-fashioned short covering.
The yen has benefitted from a flight to liquidity through all this China turmoil, along with a bit of a boost from the Korean peninsula tensions ... and the Kuroda line is gaining credence also
