China yuan's daily fixing proves difficult for analysts to predict
Speculation is that the authorities have reverted to using the reference rate to guide the currency's movements
Shanghai
FOR a rate that China's central bank says is largely determined by easy-to- track market prices, the yuan's daily fixing is proving surprisingly hard for analysts to predict.
The reference rate, which restricts moves in the onshore yuan to a maximum 2 per cent on either side, has defied forecasts in recent days. Even after the central bank's research chief on Monday took the unusual step of clarifying how the rate is set, Royal Bank of Canada (RBC) said Wednesday's fixing differed from what the monetary authority's methodology suggested it would be.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Banking & Finance
Singapore moves to boost law to hunt and prosecute money launderers
Manulife profit beats on growth in Asia, wealth management
Robinhood beats profit estimates on interest income strength
Prudential shutters Hong Kong wealth unit Pulse
JPMorgan, Nomura limit Segantii exposure on Hong Kong case
UOB awards Wong Kan Seng over S$400,000 in shares