This week we had a 50 basis point cut to China's Reserve Requirement Ratio (RRR), which appears to have lent the yuan enough support to break its three-week losing streak.
Barclays comments (via Reuters report):
- "China's support for yuan assets and growth has intensified, but one-time impulses have struggled to alter fundamental dynamics,"
- "A 50-basis-point reserve requirement ratio (RRR) cut with the medium-term lending facility (MLF) rate on hold suggests a preference for liquidity management"
Earlier, from ANZ:
And, earlier still, the PBoC continued with its efforts, underway for many months now, to support the currency and the reference rate setting every day:
Onshore yuan update:
