China’s Vice Premier Liu: Chinese economy is stable amid challenges

Speaking to reporters on Friday, the Chinese Vice Premier Liu He said that the Chinese economy is stable amid challenges.

With regard to “challenges”, Liu might be referring to the impending US-China interim deal. Last minutes, White House adviser Peter Navarro said that there is no agreement at this time to remove any of the existing tariffs.

The risk sentiment appears to have soured on Navarro’s comments, with S&P 500 futures dropping -0.15% while USD/JPY is off the 109.41 highs to now trade near 109.25 region.

Meanwhile, its worth noting that the PBOC, the Chinese central bank, set the yuan mid-point rate below 7.00 for the first time since August.