It’s a busy night in AsiaPac. The ubiquitous Japanese stock buying-panic at the open quickly faded. China weakened the Yuan fix quite notably and injected another CNY10bn of liquidity but news of the arrest of the President of China’s 3rd largest bank and a graft investigation into Dongfeng Motor’s general manager sparked greater uncertainty and Chinese stocks extended the losses from yesterday. Commodities had started to creep lower, with Dalian Iron Ore pushing 2-month lows with its biggest daily drop in 3 months, were extended when the Aussie central bank kept rates steady (as expected) but sparked turmoil in FX markets with forward guidance of the potential for more easing.

Japanese markets opened in their usual glory, then faded fast…

China opened with more liquidity injections and a sizable weakening in the Yuan fix…

Probes widened with AgBank (China’s 3rd largest bank) President arrested…

The president of China’s third-largest bank has been detained, local media reported on Monday — the most senior bank official to be swept up in President Xi Jinping’s sweeping anti-corruption campaign.

Zhang Yun, president, vice-chairman, and deputy Communist party secretary of Agricultural Bank of China had been “taken away to assist an investigation”, Sina Finance and QQ Finance reported, using a known euphemism for corruption arrests. QQ cited an AgBank employee saying that Mr Zhang had been arrested on Friday and that executives had held a meeting late into the night to discuss a response.

Mr Zhang is the most senior banker to be ensnared in China’s anti-corruption probe.

In January, then-president of midsized Minsheng Bank, Mao Xiaofeng, was arrested in an investigation linked to a top aide to former president Hu Jintao. Days later Lu Xiaofeng, a board member at Bank of Beijing, was also arrested.

More recently, police arrested the general manager and several other top executives at Citic Securities, China’s largest securities brokerage, for insider trading linked to the big fall in China’s stock market this year.

Local media also reported on Monday that a famous hedge fund manager was under arrest for insider trading.