The People's Bank of China set the onshore yuan (CNY) reference rate for the trading session ahead.

  • USD/CNY is the onshore yuan. Its 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.
  • A significantly stronger or weaker rate than expected is typically considered a signal from the PBOC.

The previous close was 7.1932


No change to LPRs


PBOC injects 122bn via 7-day RR, sets rate at an unchanged 1.8%

  • 89bn yuan of RRs mature today
  • thus a net 33bn yuan injection on the day in OMOs


ps. Lunar New Year holidays in China are:

  • February 10 to February 17 (eight days in total)
  • employers are encouraged to arrange paid leave for employees on New Year’s Eve, February 9

The People's Bank of China will provide added liquidity ahead of February 9 via multiple tools including OMOs to meet increased demand for cash leading into and right over the Lunar New Year holiday period.

china lunar new year 22 January 2024 2