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Chinese yuan weakens against USD Tuesday

Source: Xinhua| 2018-02-06 11:44:37|Editor: Mengjie
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BEIJING, Feb. 6 (Xinhua) -- The central parity rate of the Chinese currency, the renminbi or the yuan, weakened against the U.S. dollar Tuesday, slowing from its previous upsurge.@ The central parity rate of the yuan weakened 53 basis points to 6.3072 against the U.S. dollar Tuesday, according to the China Foreign Exchange Trade System.

The yuan will see moderation compared to last month, but its strong momentum is unlikely to reverse before the Spring Festival, CIB Research analyst Guo Jiayi said.

The RMB's weakening came after it began February by strengthening to its strongest level since Aug. 11, 2015, following a gain of over 3 percent against the U.S. dollar since earlier this year.

The dollar index, a gauge that measures the U.S. currency's strength against six other major currencies, posted a 3.44-percent decline in January.

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.

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