The People’s Bank of China sets the onshore yuan (CNY) reference rate for the trading session ahead.
- USD/CNY is permitted to trade plus or minus 2% from this daily reference rate.
- CNH is the offshore yuan. USD/CNH has no restrictions on its trading range.
- The previous close was 6.5009
- Reuters estimate from their survey was 6.5039, Bloomberg 6.5051 …. (A rate that’s significantly stronger or weaker than expected is typically considered a signal from the PBOC)
Another strengthening for the onshore yuan mid-rate today from the People’s Bank of China.
injects 10 billion yuan liquidity via 7-day reverse repo
- 10 billion yuan reverse repo mature today
- net neutral on the day