December 15, 2025
China sets yuan fix at biggest gap to estimate on record

China sets yuan fix at biggest gap to estimate on record

China sets yuan fix at biggest gap to estimate on record – MarketWatch

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Published: Aug. 18, 2023 at 4:49 a.m. ET

A Chinese bank employee counts 100-yuan notes and US dollar bills at a bank counter in Nantong in China’s eastern Jiangsu province.

AFP via Getty Images

[]China has made the biggest defense of its beleaguered currency via fixing on record.

[]The yuan is allowed to trade in a 2% band relative to the daily fixing each day. The People’s Bank of China on Friday set that fixing at one dollar equalling 7.2006 yuan — compared to the average Reuters estimate of 7.305 yuan. That’s the largest gap compared to the estimate since the Reuters poll started in 2018, according to ING analysts.

[]The onshore yuan USDCNY, +0.00% on Wednesday fell to a 16-year low, with a dollar reaching 7.2981 yuan. On Friday, it was slightly stronger, with one dollar fetching 7.2895 onshore yuan.

[]The onshore yuan refers to the market for the currency in mainland China, while the offshore yuan refers to the market for the Chinese currency outside the mainland, like in Hong Kong.

[]The offshore yuan USDCNH, +0.09% continued to weaken, as the dollar rose 0.1% to 7.3106 yuan.

[]Concerns are mounting on China’s economy, namely via the property sector, as Evergrande filed for bankruptcy protection in the U.S.

64% of Americans say they wouldn’t support Trump: poll

[]A majority of Americans say they wouldn’t support former President Trump, new polling shows, even as he remains the overwhelming favorite among Republicans.

[]Steven Goldstein is based in London and responsible for MarketWatch’s coverage of financial markets in Europe, with a particular focus on global macro and commodities. Previously, he was Washington bureau chief, directing MarketWatch’s economic, political and regulatory coverage. Follow Steve on Twitter: @MKTWgoldstein.

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