- Chinese offshore yuan, which trades outside the mainland, dropped below 7 per dollar for the first time since offshore trading started in Hong Kong in 2010.
The USDCNY exchange rate is a reference rate not used in actual currency trading. When investors or entities want to exchange dollars for the Chinese currency, they do so using the USDCNH exchange rate set in Hong Kong. The People’s Bank of China sets the yuan’s mid-point rate and the onshore yuan (USDCNY) is allowed to trade 2% higher or lower than the PBoC’s central reference rate. The offshore yuan (USDCNH) which trades outside the mainland is not controlled. Chinese offshore yuan, which trades outside the mainland, dropped below 7 per dollar for the first time since offshore trading started in Hong Kong in 2010 on Monday. The onshore yuan weakened to as low as 7.0352 per USD, its lowest level since March 2008, with the People’s Bank of China saying the decline was caused by “expectations of more tariffs on China”. Historically, the Chinese Yuan reached an all time high of 8.73 in January of 1994 and a record low of 1.53 in January of 1981.
The USDCNY and the USDCNH are not very different and usually trade less than a few cents apart. China’s Foreign Exchange Trade System published a new yuan index, on December 11th, 2015 including 13 currencies and extended it on January 1st 2017 to 24. The CFETS RMB Index measures the value of yuan against a basket of 24 major currencies, with weights based on international trade and has an end-2014 base year. The USD accounts for the largest share (22.4 percent), followed by the euro (accounting for 16.3 percent) and the yen (11.5 percent).
The index also includes the currencies of Hong Kong, UK, Australia, New Zealand, Singapore, Switzerland, Canada, Malaysia, Russia, Thailand, South Africa, South Korea, UAE, Saudi Arabia, Hungary, Poland, Denmark, Sweden, Norway, Turkey and Mexico. . This page provides – Chinese Yuan – actual values, historical data, forecast, chart, statistics, economic calendar and news. Chinese Yuan – actual data, historical chart and calendar of releases – was last updated on August of 2019.
