PBOC continues to weaken the Yuan
This is done by weakening it’s ‘fix’ to the US Dollar. Two days in a row, the move is looking more like a trend than a one-time deal. I can imagine PBOC Governor Zhou to ECB President Draghi “大炮是这么发射的”.
However no one does devaluation better than Japanese PM Abe. The Japanese Yen easily lost half of its value against the USD since his election in December 2012 when USDJPY was trading at the 82-83 region. At the moment, USDJPY is doing 125.20. Here’s an old chart published November last year.
USD to CNY rates published on Bank of China
These are published rates for 07, 10, 11 and 12 August. Note: Bank of China is a commercial bank whereas the central bank is the People’s Bank of China.
Director, TerraSeeds Market Technician Pte Ltd. Trader, investor. @sohtionghum was picked ‘Top 70 Forex Twitter in 2015’. Operates multiple strategies.
“Dear reader, I do not have a financial license to give advice. I do not know you the reader. Your financial objective and risk tolerance may be different from mine. I am not responsible for any consequence of your action.