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 7.0340
In open market operations (OMOs):
- PBOC injects 292bn via 14-day RR, sets rate at 1.85%
- 524 bn yuan reverse repo expire today
- net 232bn liquidity drained from the market in OMOs today