The onshore USD/CNY breached 6.81 earlier today as selling in Yuan continued. But on suspected intervention by state owned banks, USD/CNY quickly dropped through 6.8 handle and it’s now back at 6.78.
The offshore USD/CNH also followed and dropped through 6.8 too.
The news and the development helped lifted the Shanghai SSE composite back into positive territory. It’s now trading above 2% and is back above 2800. It’s also helped lifted Hong Kong HSI by more than 400 pts back above 28200.