China's yuan fell to more than eight-year lows against the dollar on Friday, in line with a broader retreat among Asian currencies, after Federal Reserve Chair Janet Yellen raised expectations for a US rate hike in the short term. The People's Bank of China set the midpoint rate at 6.8796 per dollar prior to market open, weaker than the previous fix 6.8692.
The spot market opened at 6.8890 per dollar and was changing hands at 6.8905 at midday, 185 pips weaker than the previous late session close and 0.16 percent away from the midpoint. It is trading at its lowest levels since June 2008. The Thomson Reuters/HKEX Global CNH index, which tracks the offshore yuan against a basket of currencies on a daily basis, stood at 95.33, firmer than the previous day's 95.13. The offshore yuan was trading 0.29 percent weaker than the onshore spot at 6.9104 per dollar. One-year NDFs are settled against the midpoint, not the spot rate.
Comments
Comments are closed for this article.