Reported 5 months ago
China has decreased its daily reference rate for the yuan to the lowest level since January due to the strengthening dollar, allowing more flexibility for the currency to depreciate alongside regional peers. The move by the People's Bank of China is in response to the dollar's rebound and aims to maintain a balance between yuan weakness for economic growth without causing market panic or capital outflows. This adjustment in the yuan fixing may impact global foreign-exchange markets, as the yuan is a key currency for regional peers.
Source: YAHOO