Yuan Reform Evident in Chinese Central Bank Allowing Record Highs

China’s central bank appears to have underlined its commitment to currency reform by allowing the yuan to set record highs against the dollar despite signs of unexpected weakness in exports.

The yuan hit a second consecutive record intraday high of 6.1011 on Tuesday, after the People’s Bank of China set its mid-point – the center of the currency’s 2 percent daily trading band – at an all-time peak the previous day.

The currency moves came hot on the heels of official data showing Chinese exports slid in September by 0.3 percent from a year earlier.

via CNBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza