Early Friday morning, Authorities in China appear to have rolled up their sleeves as the state planner National Development and Reform Commission (NDRC), People’s Bank of China (PBoC) and the Human Resource Ministry all try to tame market fears about the dragon nation.
That said, the state planner NDRC announced multiple measures to bolster automobile consumption.
Among them, the NDRC’s push for 'economical and practical car models' via coordinated efforts among the local authorities gained major attention. That said, measures to optimize purchase restriction policies and an increase in annual car purchase quotas were also important measures to watch.
Elsewhere, the PBoC defied the market’s expectations of witnessing a heavy jump in the Chinese Yuan (CNY) by fixing the USD/CNY rate more than 400 pips below the forecasts to 7.1456, acting too defensive for the domestic currency for the second consecutive day.
Further, China’s Human Resource Ministry said that the nation created 6.78 million new urban jobs in the first half of 2023, achieving 57% of the target.
Additionally, China Forex Regulator also crossed wires, via Reuters, while showing readiness to prevent external risks by saying that the savings ratio is at a relatively high level and helps the current account in maintaining a reasonable surplus. China's FX regulator also cited attractiveness of the nation's bond market and anticipated more stable and sustainable investment in the bond market.
Market reaction
Despite multiple efforts to renew the market’s optimism, the risk-barometer AUD/USD pair remains pressured near 0.6775 by the press time.
Also read: AUD/USD Price Analysis: Bears approach 0.6730 confluence level on breaking nearby support
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD fluctuates around 1.0900 as markets await US election exit polls
EUR/USD trades sideways near 1.0900 on Tuesday. The US Dollar ignores the upbeat ISM Services PMI data for October and stays under modest selling pressure as investors await exit polls to see who is closer to winning the US presidential election.
GBP/USD clings to modest gains near 1.3000, awaits US election result
GBP/USD trades marginally higher on the day at around 1.3000 after finding support near 1.2950 on a broadly subdued US Dollar. Traders eagerly await the outcome of the US presidential election, refraining from placing fresh bets on the major.
Gold holds steady below $2,750 amid US election jitters
Gold attracts dip-buyers after touching a one-week low on Tuesday but remains below $2,750. The benchmark 10-year US Treasury bond yield stays in positive territory above 4.3% as markets eye US election exit polls, limiting XAU/USD's upside.
Crypto markets brace for volatility in tight race between Trump and Harris
The US presidential election is one of the most significant events in the world. Due to the influence of the country’s political decisions, policies, and economic approaches, it can significantly impact crypto and global markets.
US election day – A traders’ guide
Election day volatility: Brace for potential wild market swings. Election days bring opportunities, but also risks. Unclear results can increase volatility further.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.