BEIJING: China’s yuan firmed against the dollar on Monday despite a slightly weaker midpoint set by the central bank. The People’s Bank of China set the midpoint rate at 6.1402 per dollar prior to market open, weaker than the previous fix 6.1397.
The spot market opened at 6.2130 per dollar and was changing hands at 6.2119 near midday, 48 pips stronger than the previous close and 1.17 percent weaker than the midpoint.
The spot rate is currently allowed to trade with a range 2 percent above or below the official fixing on any given day.
Market participants remain cautious on the yuan’s performance in the coming months as weak economic indicators from China shows the world’s second-largest economy still needs further supportive measures from the government.
