While Euro and Italy catches a lot of attention today, we’d like to point out a development in Asia. USD/CNH (offshore Yuan) surges again today and takes out 6.8959 resistance. This is an important sign of underlying weakness in the Yuan. And the pair could head back to 6.9856 high for a test.
Additionally, Hong Kong HSI also suggested steep selloff, by -2.38% today. These two are important signs that Chinese markets could return from holiday next week in deep trouble. While Euro is weak today, Australian Dollar is even worse, because of that.
