Yuan slightly up

The yuan ended up slightly against the dollar on Monday after the People's Bank of China set a stronger mid-point and found support from official comments that managing inflation would be a top priority. Spot yuan finished at 6.5698 versus the dollar, up slightly from Friday's close of 6.5746. The currency has risen 3.9 percent since it was depegged in June 2010.
Before trading began, the PBOC set the yuan's mid-point at 6.5701 versus dollar, stronger than Friday's 6.5750. Benchmark one-year dollar/yuan non-deliverable forwards (NDF) were bid at 6.4380, little changed from 6.4370 at Friday's close. Their implied yuan appreciation in a year's time fell to 2.1 percent, unchanged from Friday.