Coronavirus Update: Situation in Shanghai city has shown a downtrend in recent days

Dhwani Mehta FXStreet

“The epidemic situation in the city has shown a downtrend in recent days,” authorities in Shanghai city said in a statement on Wednesday.

Additional quotes

Two city districts have achieved zero covid at community level.

Numbers of people categorised in highest risk "sealed areas" has reduced significantly.

People aged over 60 years old account for 20% of patients in city's latest covid outbreak.

This encouraging news comes as the city is preparing to ease the lockdown restrictions, with some factories returning to production in closed-loop systems.

On Monday, Reuters reported officials had set a target of reaching “zero-Covid at the community level” by Wednesday.

Market reaction

The mood remains cautious amid rallying global yields, which intensify concerns over higher borrowing costs and economic growth. AUD/USD, however, is gaining the upside momentum on the improving covid situation in Shanghai and the RBA’s hawkish shift.

The pair is trading at 0.7406, adding 0.50% on the day.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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