China Urged to Prioritize Economy Over Territorial Ambitions, Says Taiwan’s President Lai 
Gold Prices Steady as Markets Await Key U.S. Data and Expected Fed Rate Cut 
Citi Sets Bullish 2026 Target for STOXX 600 as Fiscal Support and Monetary Easing Boost Outlook 
Asian Currencies Steady as Markets Await Fed Rate Decision; Indian Rupee Hits New Record Low 
IMF Deputy Dan Katz Visits China as Key Economic Review Nears 
China’s Services Sector Posts Slowest Growth in Five Months as Demand Softens 
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
BOJ Governor Ueda Highlights Uncertainty Over Future Interest Rate Hikes 
Spain’s Industrial Output Records Steady Growth in October Amid Revised September Figures 
Dollar Slides to Five-Week Low as Asian Stocks Struggle and Markets Bet on Fed Rate Cut 
For USD/CNY, a commitment to currency stability as part of the deal is likely to imply limited deviation from current levels, according to the latest research report from Commerzbank.
The enthusiasm to the phase one trade deal announced last week appears to be fading. USD/CNY is trading just above the 7.00 level once again after dipping over 1 percent last Thursday towards the 6.9600 level.
The market’s ambivalence is understandable given that there are few details. There is also scepticism on whether China can fulfil its commitment on US agriculture purchases. The numbers proposed are that China intends to double US agricultural imports from next year to USD40-50 billion annually from just USD24 billion in 2017, before the trade war began, the report added.
One news outlet reported that some details are emerging on how China plans to achieve this, including removing the tariff on US ethanol. However, this may not make a huge dent as US ethanol exports to China was just above USD300 million in 2016.
"There are also reports that China may re-route some trade to the US away from Hong Kong to the mainland. Some estimates are that this could amount to USD10 billion. Overall, we are still waiting for more concrete details," Commerzbank further commented in the report.
