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 7.0480
The reference rate today at 7.0531 is the strongest, for CNY, since May 26,2023
In open market operations (OMOs):
- PBOC injects 160bn via 7-day RR, sets rate at 1.7%
- injects 74bn yuan in 14 days RRs, cuts rate from 1.95% to 1.85%
- 139 bn yuan reverse repo expire today
- net 96bn liquidity injected into the market
