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 7.1940
more to come
PBOC injects 100bln yuan via 14-day reverse repos with the rate at 1.95%
- 500bn yuan of RRs mature today
- thus a net 400bn yuan drain on the day in OMOs