In the opinion of FX Strategists at UOB Group Lee Sue Ann and Quek Ser Leang, USD/CNH should remain within the 6.7350-6.7700 range in the near term.

Key Quotes

24-hour view: “Yesterday, we expected USD to ‘trade in a choppy manner between 6.7500 and 6.7910’. USD subsequently traded sideways within a narrower range than expected (6.7537/6.7803). Further sideway-trading would not be surprising, likely within a range of 6.7470/6.7700.”

Next 1-3 weeks: “We continue to hold the same view as yesterday (03 Aug, spot at 6.7750) where is USD is likely to trade between 6.7350 and 6.8000 for now.”