A view of the PBC’s headquarters in Beijing Photo: cnsphoto
The exchange rate of Chinese yuan with the world’s major currencies will continue to hinge on market supply and demand, and current changes within international financial markets indicates that two-way yuan rate fluctuations will become the new norm, a senior Chinese official said on Sunday.
Since the beginning of this year, the yuan’s exchange rate has wobbled, while remaining basically stable at a reasonable and balanced level, said Liu Guoqiang, deputy governor of the People’s Bank of China (PBC), the central bank.
China’s foreign exchange dynamics are determined by the market, and the yuan’s exchange rate is expected to remain stable in the coming months, said Liu.
Chinese yuan has strengthened against the US dollar since April mainly thanks to China’s strong economic recovery from the COVID-19 pandemic and robust export trend, after the Chinese currency weakened to a…