Striking that Offshore/Onshore Yuan spreading and velocity of change in the spreading dramatically affects S&P 500. Sunday PBOC will announce their forex reserves. It is during their New Year week so no trading will take place in China. But depending on the amount of spent reserves there might be wild movements to either side in western "civilised and free" (break BATS, S&P is falling) markets. My personal estimate is a reduction in the range of 180-200 billion USD last month and I expext a wild downward movement in S&P. Numbers belon 100 billion may result in an intermediate upward rally. Should be used to sell... Keeping mid year target at 1550-1600.
