PBOC says will continue to take measures maintain stability in yuan exchange rate

• Will step up counter-cyclical policy adjustment
• Will prevent overshooting risks in exchange rate, to keep the yuan stable
• To continue to take measures to keep yuan exchange rate basically stable at reasonable and balanced levels

Just some token remarks there from the PBOC official. The more striking headline involving China in this one here, with new bank lending struggling in 2024. It highlights a key problem for Chinese banks as they face the challenge of stalling loan growth. It shows that despite the stimulus measures from Beijing, it is not enough to revive consumer credit demand. And that doesn’t bode well for the economic outlook coming into this year.

This article was written by Justin Low at www.forexlive.com.