Both onshore and offshore yuan have moved lower
(Don't know the difference?
Onshore yuan is CNY and is limited to a plus of minus 2% range each day from the reference rate set prior to the day's session commencing. The PBOC will intervene to push back against the move if the range threatens to break.
Offshore yuan is not limited to any range.)
Offshore yuan trade:
Onshore yuan trade
Stock markets in China are playing catch up (catch down?), off around 9% on the first day of trade after the extended holiday break.
- The PBOC cut rates on RRs
- Commodity futures in China are also much lower, many are limit down.
ps those yuan moves have taken it back to levels seen in late December. These are not overly large moves. Depending on how the virus outbreak develops though there may be more yuan weakness to come.
