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 6.3607

The PBOC inject 10 yuan via 7 day reverse repos (rate remains at 2.1%)

  • 10bn yuan mature today
  • thus a net neutral on the day

PBOC drains a net 580bln yuan for the week via open market operations, biggest weekly cash withdrawal in two months - Reuters calculation

There were significant injections ahead of the end of Q1 to boost liquidity