The People’s Bank of China set the onshore yuan (CNY) reference rate for the trading session ahead.
- USD/CNY is the onshore yuan. Its permitted to trade plus or minus 2% from this daily reference rate.
- CNH is the offshore yuan. USD /CNH has no restrictions on its trading range.
- A significantly stronger or weaker rate than expected is typically considered a signal from the PBOC.
The previous close was 7.0111
The rate at 7.0074 is the strongest, for CNY, since May 18 2023.
In open market operations (OMOs):
- PBOC injects 212bn via 7-day RR, sets rate at 1.5% (this was lowered on Friday)
–
—
Weekend news from China – lower rates and easing housing restrictions:
This is the last reference rate for the week, China is on holiday after today and back on Tuesday 8 October.