BEIJING, China (CCTV) — The central parity rate of the Chinese yuan weakened by 140 basis points to 6.5670 against the U.S. dollar on Wednesday, the lowest since the start of this month, according to the China Foreign Exchange Trade System.
The midpoint of the Chinese yuan against the greenback is slipping to a two-week low of 6.5530 on Tuesday.
Analysts said the fast appreciation of the yuan since late June drew a lot of institutional investors and now many of them have withdrawn from the market after taking profits.
The yuan will continue the two-way fluctuations in the future.
In China’s spot foreign exchange market, the yuan is allowed to rise or fall by 2 percent from the central parity rate each trading day.
The central parity rate of the yuan against the U.S. dollar is based on a weighted average of prices offered by market makers before the opening of the interbank market each business day.
