People’s Bank of China has cut its interest rate for the 7-day reverse report to 1.7% from 1.8%
- PBOC will strengthen the counter-cyclical adjustment to “better support the real economy”
The rate cut is, at the margin, a headwind for yuan … but the strengthening of the counter cyclical adjustment is the opposite!
The rate cut will take effect immediately, today.
USD/CNH had rallied earlier, not doing a whole lot on the new info:
This article was written by Eamonn Sheridan at www.forexlive.com. Source