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 7.2480
The setting at 7.1135 is the weakest (for the CNY) since January 19 this year.
PBOC injects 2bn via 7-day RR, sets rate at an unchanged 1.8%
4bn mature todaya net drain of 2bn yuan in Open Market Operations (OMOs)
more to come
This article was written by Eamonn Sheridan at www.forexlive.com.
