China Stock Market

HSBC CEO says wealth flow from mainland China to Hong Kong up 3 to 4 times this year

China October exports -6.4% y/y (expected -3.3%) & imports +3% y/y (expected -4.8%)

• Those are in US dollar terms

PBOC sets USD/ CNY central rate at 7.1776 (vs. estimate at 7.2854)

PBOC is expected to set the USD/CNY reference rate at 7.2854 – Reuters estimate

• Expect the rate to be set somewhere around 7.17

China - PBOC lowered the interest rate of existing mortgage loans

Global funds dumped another $3 billion in China stocks in Oct - Morgan Stanley

• Global fund managers sold China equities sharply in October despite further steps from authorities aimed at boosting the world's second-largest economy, according to a report from Morgan Stanley that cited data from fund flow tracker EPFR.

China's national team players are reluctantly propping up the stock market

China should and will accelerate the issuance and use of government bonds

Offshore yuan (CNH) is hitting a 3 week high

China & Hong Kong stocks are higher Monday - Premier's weekend opening comments?

PBOC sets USD/ CNY reference rate for today at 7.1780 (vs. estimate at 7.2868)

PBOC is expected to set the USD/CNY reference rate at 7.2868 – Reuters estimate

China's October Caixin Manufacturing PMI 49.5 (vs. 50.8 expected)

PBOC sets USD/ CNY reference rate for today at 7.1778 (vs. estimate at 7.3327)

PBOC is expected to set the USD/CNY reference rate at 7.3327 – Reuters estimate

• The actual reference rate will be a lot lower than this modelled estimate, somewhere around 7.17