PBOC units USD/ CNY mid-point immediately at 7.1719 (vs. estimate at 7.3000)

The People’s Bank of China (PBOC), China’s central bank, is responsible for setting the daily midpoint of the yuan (also known as renminbi or RMB). The PBOC follows a managed floating exchange rate system that allows the value of the yuan to fluctuate within a certain range, called a “band,” around a central reference rate, or “midpoint.” It’s currently at +/- 2%.

The previous close was 7.3050

The PBOC has injected 125.8bn yuan in reverse repos via Open Market Operations

• 7 days at an unchanged rate of 1.5%
• 275.5bn yuan mature today
• the net impact is a drain of 149.7bn yuan