People's Bank of China set the onshore yuan (CNY) reference rate for the trading session ahead.
- USD/CNY is 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.
- The previous close was 6.4634
- Reuters estimate was 6.4755. A significantly stronger or weaker rate than expected is typically considered a signal from the PBOC.
So, no slashing of the CNY from the PBOC today ... do we read this as a sign of a shift down in concern from the authorities?
PBOC injects 60bn yuan via 7-day reverse repos
and 60bn in 14-dayers
10bn mature today
thus net 110bn added bn on the day
