AIRLINK 75.30 Increased By ▲ 1.60 (2.17%)
BOP 4.88 Decreased By ▼ -0.02 (-0.41%)
CNERGY 4.39 Decreased By ▼ -0.13 (-2.88%)
DFML 41.64 Decreased By ▼ -3.24 (-7.22%)
DGKC 83.50 Decreased By ▼ -2.00 (-2.34%)
FCCL 21.29 Decreased By ▼ -0.11 (-0.51%)
FFBL 32.28 Decreased By ▼ -0.23 (-0.71%)
FFL 9.42 Decreased By ▼ -0.17 (-1.77%)
GGL 10.10 Decreased By ▼ -0.17 (-1.66%)
HASCOL 6.99 Decreased By ▼ -0.14 (-1.96%)
HBL 114.20 Decreased By ▼ -0.50 (-0.44%)
HUBC 139.00 Decreased By ▼ -0.10 (-0.07%)
HUMNL 11.95 Decreased By ▼ -0.47 (-3.78%)
KEL 4.91 Decreased By ▼ -0.12 (-2.39%)
KOSM 4.37 Decreased By ▼ -0.08 (-1.8%)
MLCF 37.14 Decreased By ▼ -0.46 (-1.22%)
OGDC 132.25 Decreased By ▼ -4.55 (-3.33%)
PAEL 24.90 Decreased By ▼ -0.49 (-1.93%)
PIBTL 6.58 Decreased By ▼ -0.11 (-1.64%)
PPL 117.70 Decreased By ▼ -3.30 (-2.73%)
PRL 26.05 Decreased By ▼ -0.54 (-2.03%)
PTC 13.83 Decreased By ▼ -0.27 (-1.91%)
SEARL 56.95 Decreased By ▼ -0.35 (-0.61%)
SNGP 66.75 Decreased By ▼ -1.25 (-1.84%)
SSGC 10.25 Decreased By ▼ -0.17 (-1.63%)
TELE 8.25 Decreased By ▼ -0.20 (-2.37%)
TPLP 10.74 Decreased By ▼ -0.24 (-2.19%)
TRG 62.52 Decreased By ▼ -0.82 (-1.29%)
UNITY 27.11 Increased By ▲ 0.06 (0.22%)
WTL 1.33 Decreased By ▼ -0.05 (-3.62%)
BR100 7,865 Decreased By -75.2 (-0.95%)
BR30 25,250 Decreased By -398.2 (-1.55%)
KSE100 74,989 Decreased By -528.2 (-0.7%)
KSE30 24,058 Decreased By -219.9 (-0.91%)

China's yuan closed sharply weaker against the dollar on Friday, at its softest since late August, pressured by a spat of dollar purchases late in the session, in part fuelled by expectations of an imminent rise in US interest rates. The dollar index jumped 0.7 percent in early European trade, rebounding from its overnight decline after the European Central Bank's latest easing steps fell short of market expectations.
Before the onshore market open on Friday, the People's Bank of China (PBOC) set the midpoint rate at 6.3851 per dollar, 0.21 percent firmer than the previous day's closing quote of 6.3972, the strongest gain in a month. In line with the strong midpoint, the spot market opened at 6.3867 per dollar and surged to a two-week high at 6.3850 in early trade.
But it later dipped and accelerated its fall in the last 30 minutes of trading after the opening of the European market and hit an intraday low of 6.4124, its weakest level since August 27. It closed at 6.4020, sharply weaker than Thursday's close. "Bargain-hunting in dollars lasted for most of the session, and stepped up late in the session," said a trader at a European bank in Shanghai. "Sentiment towards the dollar has strengthened of late amid rising expectations of a US interest rate hike this month."
The yuan held steady against the dollar for most of the week after the International Monetary Fund (IMF) admitted the Chinese currency into its global currency basket, with some traders citing usual PBOC intervention to keep it stable. In late Friday trade, the offshore yuan was trading about 0.7 percent weaker than the onshore spot at 6.4450.

Copyright Reuters, 2015

Comments

Comments are closed.