A sell-off in chip stocks intensified following a report that chipmakers are cutting ties with Huawei after the Trump administration's ban.Marketsread more
Ford Motor said Monday that it is laying off about 7,000 salaried workers, about 10% of that global workforce, as part of a restructuring plan designed to save the No. 2...Autosread more
President Trump stands a chance of creating a new economic world order in his China trade fight, says the chief economic advisor of Allianz.Economyread more
Most U.S. hedge funds aren't expecting another big stock market sell-off as more firms curb bets on volatility, according to Nomura.Marketsread more
Google announced Google Glass Enterprise Edition 2 on Monday, a new set of smart glasses that's catered toward businesses and costs $999. Google has focused on business use...Technologyread more
More than 170 shoe retailers, including Nike, Under Armour, Adidas, Foot Locker, Ugg and Off Broadway Shoe Warehouse, have penned a letter to the White House asking President...Retailread more
Microsoft on Monday announced new moderation for its Xbox platform in an effort to cut down on toxic content and to make gaming safer for everyone.Technologyread more
People investing in some technology stocks should not expect them to go up anytime soon, warns the "Mad Money" host.Investingread more
Nordstrom has chosen Oct. 24 for the grand opening of its women's store in New York, the largest single-project investment in the company's history.Retailread more
Little Caesars will sell a pizza topped with plant-based sausage crumbles made by Impossible Foods for the pizza chain. This marks the first time a national pizza chain is...Restaurantsread more
SHANGHAI, April 30 (Reuters) - China's yuan eased against the dollar on Tuesday, knocked lower by weaker-than-expected factory surveys, which suggested an earlier recovery seen in the world's second-largest economy was struggling to sustain momentum. Manufacturing activity in China expanded for a second straight month in April but at a much slower pace, according to both official and private surveys on Tuesday, a sign the economy is still struggling to gain traction despite a flurry of support measures. "The declines in China (purchasing managers' indexes) for April might have dampened confidence on China recovery," said Ken Cheung, senior Asian FX strategist at Mizuho Bank in Hong Kong. Prior to market opening on Tuesday, the People's Bank of China (PBOC) set the midpoint rate at 6.7286 per dollar, 24 pips or 0.04 percent firmer than the previous fix of 6.7310. Traders said the official yuan fixing came in higher than market consensus again on Tuesday. The midpoint was 26 pips firmer than Reuters' estimate of 6.7312. In the spot market, onshore yuan opened at 6.7391 per dollar and was changing hands at 6.7377 at midday, 31 pips softer than the previous late session close and 0.14 percent weaker than the midpoint. Yuan traders said April data suggested broad economic performance, a driver of the yuan's mid- to long-term value, was yet to bottom out, despite earlier a slew of unexpectedly upbeat economic data seen in the first quarter. "The April PMI is a miss itself, while it also underlines the cautiousness back towards the March outcome with investors worrying that March was a blip," said Frances Cheung, head of macro strategy for Asia at Westpac in Singapore. Lu Ting, chief China economist at Nomura in Hong Kong, said the declines in PMIs suggested Beijing could not afford to slow easing. "On policy implications, Beijing has been sounding less dovish in the past two weeks. We believe today's PMI will help convince Beijing to become a bit more dovish, especially on its monetary easing stance," Lu said in a note. "Bad news on economic data could be good news for some assets. We reckon interest rates and bond yields could moderate in the next couple of weeks," he added. However, analysts also saw losses in the yuan capped as the latest round of Sino-U.S. trade negotiations takes place in Beijing, with markets widely expecting bilateral trade tensions to come to an end soon. "While most of positive news has been priced-in, the uncertainties over striking the final deal will probably keep further risk rally in check in the near term," said Mizuho's Cheung. Investors remained unwilling to hold large bets on the yuan in either direction with Chinese financial markets closed from Wednesday for the Labour Day holiday and again on Thursday and Friday. Trading resumes on Monday. The global dollar index fell to 97.801 at midday from the previous close of 97.857. The offshore yuan was trading at 6.7439 per dollar as of midday.
The yuan market at 0324 GMT:
Item Current Previous ChangePBOC midpoint 6.7286 6.731 0.04%Spot yuan 6.7377 6.7346 -0.05%Divergence from 0.14%
Spot change YTD 2.01%Spot change since 2005 22.84%
Item Current Previous ChangeThomson 96.03 96.14 -0.1
Reuters/HKEX CNH index
Dollar index 97.801 97.857 -0.1
*Divergence of the dollar/yuan exchange rate. Negative number indicates that spot yuan is trading stronger than the midpoint. The People's Bank of China (PBOC) allows the exchange rate to rise or fall 2 percent from official midpoint rate it sets each morning.
OFFSHORE CNH MARKET
Instrument Current Difference
Offshore spot yuan 6.7439 -0.09%*Offshore 6.7698 -0.61%
*Premium for offshore spot over onshore
**Figure reflects difference from PBOC's official midpoint, since non-deliverable forwards are settled against the midpoint. .
(Reporting by Winni Zhou and John Ruwitch; Editing by Sam Holmes)