Greater China Macro Daily(Beta Mode)
PBoC Liquidity Injections Lift HK, Taiwan Markets
Market Snapshot
| Asset | Level | Change |
|---|---|---|
| Shanghai Composite | 3,934.09 | -0.82% |
| CSI 300 | 4,663.79 | -0.65% |
| Hang Seng | 25,937.49 | +1.05% |
| TAIEX | 44,928.76 | +1.59% |
| USD/CNY | 6.74 | -0.16% |
| USD/HKD | 7.85 | +0.01% |
| Copper | 6.63 | +0.52% |
| Brent Crude | 88.95 | +1.40% |
| Gold | 4,427.80 | +1.51% |
| Bitcoin | 63,700.69 | -0.33% |
| China 2Y Govt Yield | - | - |
| China 10Y Govt Yield | - | - |
Prior Economic Events
| Data | Prior | Cons | Actual |
|---|---|---|---|
| No events available | |||
USD/CNY Exchange Rate | Type: market_hloc | CNY per USD: 6.736 (2026-08-11) | Range: 6.736–6.814 | Trend(6pt): 6.8,6.765,6.79,6.768,6.749,6.736
Today's Economic Events
| Data | Prior | Cons | Time |
|---|---|---|---|
| Current Account Preliminary | 184,300m | - | 01:00 |
- Mainland equities fell while Hong Kong and Taiwan indices advanced on PBoC liquidity support.
- USD/CNY eased 0.16% to 6.74 as reverse-repo operations expanded.
- China Current Account Preliminary release scheduled for 14 August.
Yesterday's Recap
Mainland Chinese equities declined on 10 August with the Shanghai Composite falling 0.82% to 3,934.09 and the CSI 300 dropping 0.65% to 4,663.79. In contrast, the Hang Seng Index rose 1.05% to 25,937.49 and the TAIEX gained 1.59% to 44,928.76, supported by semiconductor export strength in Taiwan. USD/CNY declined 0.16% to 6.74 while USD/HKD held steady at 7.85 inside the peg band.
Copper advanced 0.52% to 6.63, Brent crude climbed 1.40% to 88.95 and gold rose 1.51% to 4,427.80, reflecting China demand expectations. The PBoC conducted 7-day reverse repos at 1.40%, injecting 18 billion yuan and an additional 398.5 billion yuan to maintain liquidity. No major data releases occurred in mainland China, Hong Kong or Taiwan on 10 August.
Deutsche Bank’s appointment as RMB clearing bank for Europe added positive sentiment for yuan internationalisation.
The Day Ahead
The China Current Account Preliminary for the second quarter will be released at 01:00 ET on 14 August, with the prior reading at 184.3 billion USD. Analysts expect the print to reflect steady external balances amid ongoing policy support. No monetary policy meetings are scheduled for the PBoC, HKMA or CBC on 11-12 August.
Market participants will monitor PBoC open-market operations for signs of further net liquidity additions ahead of the August MLF rollover. Hong Kong authorities continue to manage heatwave-related power demand risks that could affect near-term economic activity. Taiwan semiconductor supply-chain updates remain in focus given their linkage to export orders and CBC policy stance.
Other Economic Notes
Property transaction volumes in tier-1 Chinese cities rose for a third consecutive week, aided by selective bank lending to stronger developers. China’s push to adopt AI is generating worker displacement concerns, with courts ruling in favour of affected employees yet job anxiety persisting in a sluggish economy. Indonesia’s inaugural Panda Bond issuance highlights expanding use of Chinese capital markets by regional sovereigns.
Cross-strait trade flows stayed quiet with no new restrictions reported from the US or EU. Hong Kong’s new trade office in Malaysia aims to deepen Greater Bay Area linkages and regional investment. China’s central bank has pledged timely policy adjustments while maintaining an appropriately loose stance to support growth and the panda-bond market.
