Posted On: January 29, 2013
The monetary unit of the globe's second largest economy lost value on Tuesday against the currency of the world's largest economy, according to The Wall Street Journal.
The People's Bank of China guided the yuan's value weaker, representing the fourth consecutive trading session it has done so on the foreign exchange market. Traders said the central bank was purchasing large amounts of the U.S. dollar on the spot market.
"Today's dollar selling from corporates is heavy, the yuan would have hit its daily upper limit again if the central bank didn't intervene in the market," a Shanghai-based trader with an international bank told the news source.
The Taipei Times reports the renminbi dropped to its three-week trough on Tuesday as a consequence of the central bank loweringÂ its reference rate.
The internationalization of the currency of China is en route but lots of work remains, deputy managing director Zhu Min with the International Monetary Fund told Chinese news source Xinhua, according to The Taipei Times.
Since the end of last July, the monetary unit has gained 2.7 percent.
Category: Industry News
Foreign Exchange Services for Business
With a focus on payment services, Western Union Business Solutions enables businesses of all sizes to send funds internationally through our global payment solutions.
See our available FX payment services