PBOC: China’s inflation is under control

The People’s Bank of China (PBOC) said in a statement on Wednesday that China’s inflation is under control.

Additional quotes

Will keep liquidity reasonably ample.

Will push financial institutions to lower financing costs.

These comments come ahead of the much-awaited US inflation data, which is expected to show the core figures softening on an annualized basis to 5.8% in June.

Market reaction

AUD/USD is marching towards 0.6800, despite a mixed market mood and a broadly firmer US dollar. Meanwhile, USD/CNY is down 0.05% on the day, currently trading at 6.7203.