China financial media says PBoC statement sends stronger signal on stable yuan FX rate

Financial News is a People’s Bank of China-backed media outlet in China. reporting on PBoC Q4 meeting statement, saying it sends a strong signal on stabilising the exchange rate:

• PBoC has ample tools and experience to react to yuan fall
• has ability to hold yuan basically stable at reasonable and balanced level

Despite some expectations of the PBoC allowing the yuan to eakend further:

• All eyes on the PBoC yuan reference rate today – will it be above 7.20?

The fixing was below 7.2 again:

• PBOC sets USD/ CNY reference rate for today at 7.1876 (vs. expectations of > 7.20)

Offshore yuan update:

This article was written by Eamonn Sheridan at www.forexlive.com.