Tag: yuan

China’s yuan firms, set for eighth week of gains

SHANGHAI, Sept 18 (Reuters)China’s yuan firmed on Friday, resuming its march higher against the dollar and putting it on course for an eighth straight week of gains after weak U.S. data pulled the greenback lower.

As of midday Friday, the yuan was up more than 1.3% for the week, set for its strongest weekly gain against the dollar since January 2019 and its longest weekly winning streak against the greenback since early 2018.

Friday’s rise came after the People’s Bank of China (PBOC) set its midpoint for the yuan’s daily trading band CNY=PBOC at 6.7591 per dollar, its firmest level since May 6, 2019.

Spot yuan CNY=CFXS opened at 6.7530 per dollar and was changing hands at 6.7560 at midday, 82 pips stronger than Thursday’s late session close.

The offshore yuan CNH=D3 firmed to 6.752 per dollar by midday.

While the yuan may consolidate gains after its rapid

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Yen hits two-week high on dovish Fed expectations; yuan rallies

Japanese yen banknotes of various denominations are arranged for a photograph in Tokyo, Japan, on July 22, 2015.

Kiyoshi Ota | Bloomberg | Getty Images

The Japanese yen inched higher on Wednesday as traders bet an ultra-accommodative U.S. Federal Reserve would weigh on the U.S. dollar, while the Chinese yuan extended gains one day after data pointed to better prospects for the world’s No. 2 economy.

The Fed is due to make its first policy statement since adopting a more tolerant approach to inflation later on Wednesday.

Traders bought yen on the belief the U.S. central bank may promise further stimulus, which would likely weaken the U.S. dollar and push Treasury yields lower. The Fed is not expected to move on rates but adjustments to bond purchases are possible.

The yen touched a two-week high of 105.25 per dollar, but investors reduced dollar shorts, or bets that the dollar would

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