Offshore yuan reaches strongest level since July 2022
Updated
Summary
The offshore yuan traded around 6.69 per dollar on Monday, its strongest level since July 2022, supported by a strong People’s Bank of China midpoint fixing.
Why it matters
The PBOC set the daily midpoint at 6.7313 per dollar, its firmest level since February 2, 2023; the report said this underscored policymakers’ tolerance for yuan strength.
The report also cited resilient Chinese exports and bullish calls from Western banks, which argued the yuan remained undervalued, as support for the currency.
What remains uncertain
Investors were turning their attention to upcoming Chinese inflation and trade data.