PBOC Moves to Stabilize Yuan, Denmark Announces Early Election, Greens Secure Victory in UK By-Election

US Dollar Eases as Markets Await Key Developments

As North American markets open, the US dollar is showing mild weakness. Trading activity remains subdued, with markets largely consolidating in the absence of major news. Despite ongoing negotiations between the United States and Iran scheduled to resume next week, uncertainty continues to weigh on sentiment.

There are three significant updates to highlight:

• The People's Bank of China has eliminated the reserve requirement for foreign exchange forwards and revised regulations, making it simpler for Chinese banks to supply yuan liquidity to offshore markets. These measures have led to a softer yuan.
• Denmark’s Prime Minister has announced an early general election, set to take place next month.