Yuan flat despite dollar weakness

SHANGHAI/SINGAPORE: China’s yuan was little changed against the dollar on Wednesday despite weakness in the greenback and a reports that Beijing is planning fresh economic stimulus, as worries linger over the country’s deepening property crisis.

The spot yuan was changing hands around 7.2940 in late morning trade, close to the previous late session close. Prior to the market open, China’s central bank set the middpoint steady at 7.1779 per dollar.

The yuan failed to take advantage of the greenback’s weakness, as the dollar index dropped after a slide in Treasury yields triggered by traders paring US interest rate expectations.

A flood of safe haven buying that had boosted the dollar attacks by Hamas on Israel appears to have abated.