The headlines from the People’s Bank of China are here, the Bank’s statement came as Ueda was rocking the yen-carry traders and after the Bank handed down a strong CNY fixing, stronger than estimated by a new record margin. Smart timing from the PBOC:
ps. Ueda and the fixing are here in summary:
The PBOC said it would take action to correct one-sided moves in the market whenever it’s needed, and:
- they are confident in keeping the yuan basically stable
- “Participants of the foreign-exchange market should voluntarily maintain a stable market,”
- traders should “resolutely avoid behaviors that disturb market orders such as conducting speculative trades.”
USD/CNH update:
This article was written by Eamonn Sheridan at www.forexlive.com. Source