Yuan down against dollar

SHANGHAI: China’s yuan dipped against the dollar on Monday as long-dated yields hit record lows after monthly inflation data added to economic worries and calls for fresh easing.

Meanwhile, the dollar index steadied after US employment data last week reduced bets of aggressive rate cuts by the Federal Reserve. The onshore yuan changed hands at 7.1060 per dollar around midday, down 0.23% from Friday’s close.

China’s consumer prices accelerated in August to the fastest pace in half a year, due to the higher costs of food from weather disruption, but was short of market expectations, data showed on Monday.

Meanwhile, producer price deflation worsened, stoking expectations of further easing from authorities to stimulate growth.