By FXEmpire.com

Analysis and Recommendation: (close of Asian session)

The USD/CNY is trading at 6.3003.

The Chinese currency Renminbi, or the yuan, weakened by 33 basis points to 6.3003 against the U.S. dollar on Tuesday, according to the China Foreign Exchange Trading System.

The central parity rate of the yuan against the U.S. dollar is based on a weighted average of prices before the opening of the market each business day.

Disappointing manufacturing figures from China added weakness to the Chinese currency. Traders have begun to position themselves before the US Federal Reserve FOMC meeting. The decisions are due to be released on Wed.

Also political turmoil in Europe has helped strength the greenback

Economic Data for April 23 & 24, 2012 actual v. forecast

EUR

French Manufacturing PMI

47.3

47.2

46.7

EUR

German Manufacturing PMI

46.3

49.0

48.4

EUR

Manufacturing PMI

46.0

48.2

47.7

CAD

Wholesale Sales (MoM)

1.6%

-1.0%

-1.1%

Apr. 24

AUD

CPI (QoQ)

0.1%

0.6%

0.0%

AUD

Trimmed Mean CPI (QoQ)

0.3%

0.6%

0.6%

Economic Events scheduled for April 25, 2012 that affect the NZD, AUD, and JPY

13:30 USD Core Durable Goods Orders (MoM) 0.5% 1.8%

Core Durable Goods Orders measures the change in the total value of new orders for long lasting manufactured goods, excluding transportation items. Because aircraft orders are very volatile, the core number gives a better gauge of ordering trends. A higher reading indicates increased manufacturing activity.

13:30 USD Durable Goods Orders (MoM) -1.5% 2.4%

Durable Goods Orders measures the change in the total value of new orders for long lasting manufactured goods, including transportation items.

17:30 USD Interest Rate Decision

Federal Open Market Committee (FOMC) members vote on where to set the rate. Traders watch interest rate changes closely as short-term interest rates are the primary factor in currency valuation

22:00 NZD Interest Rate Decision 2.50% 2.50%

The Reserve Bank of New Zealand (RBNZ) governor decides where to set the rate after consulting senior bank staff and external advisers. Traders watch interest rate changes closely as short term interest rates are the primary factor in currency valuation.

Government Bond Auctions (this week)

Apr 25 09:10 Sweden Auctions T-bills

Apr 25 09:30 Germany Eur 3.0bn new Jul 2044 Bund

Apr 25 14:30 Sweden Details nominal bond auction on May 02

Apr 25 17:00 US Auctions 5Y Notes

Apr 26 00:30 Japan Auctions 2Y JGBs

Apr 26 09:10 Italy BOT auction

Apr 26 14:30 Sweden Details I/L bond auction on May 03

Apr 26 17:00 US Auctions 7Y Notes

Apr 27 09:10 Italy BTP/CCTeu auction

Click here for further USD/CNY Forecast.

Originally posted here