The stronger-than-expected yuan fixing may signal policy caution amid market volatility and external pressure.
China’s central bank set the daily USD/CNY reference rate at 6.8088, above the 6.7544 estimate from traders. The move allows the yuan to trade within a 2% band around the fix, a mechanism unchanged since 2014.
The fixing came in 0.8% stronger than expectations, marking one of the largest deviations this year. Analysts had anticipated a softer tone following recent dollar strength and regional currency weakness.
Markets are watching for potential intervention signals as the yuan hovers near multi-month lows against the greenback.