The yuan closed up against the dollar on Wednesday after the People's Bank of China set a stronger mid-point amid pressure from the United States for further appreciation in the Chinese currency. Spot yuan traded between 6.4622 and 6.4700 versus the dollar, above the daily mid-point. It closed at 6.4635, up from Tuesday's close of 6.4704.
The Chinese currency has appreciated 5.61 percent since it was depegged from the dollar in June 2010, and 1.95 percent since the start of this year. Benchmark one-year dollar/yuan non-deliverable forwards (NDFs) were bid at 6.3910 in late trade, little changed from the previous day's close of 6.3930. Their implied yuan appreciation in a year's time edged up to 1.26 percent from 1.23 percent.