The People’s Bank of China set the onshore yuan (CNY) reference rate for the trading session ahead.
- USD/CNY is the onshore yuan. Its 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.
- A significantly stronger or weaker rate than expected is typically considered a signal from the PBOC.
The previous close was 7.1210
This was the strongest level since June 13
In open market operations:
- PBOC injects 300 billion Yuan via 1- year MLF at 2.30% versus prior 2.30%
- Injects CNY 471B via 7-day reverse repo at maintained 1.70%
This article was written by Greg Michalowski at www.forexlive.com.
