The offshore renminbi touched 6.7921 per dollar, its weakest since October 2010, while spot yuan in the onshore market eased after the People's Bank of China set its daily guidance rate weaker than the previous session. "The market is starting to get a bit nervous about further weakness in the yuan, which could lead to greater capital outflows," said Stephen Innes, senior FX trader for FX broker OANDA in Singapore. "If this continues at a pace beyond what virtually everyone forecast, I suspect there will be a spillover to the regional currencies," Innes said. Singapore's dollar and South Korea's won are seen as more vulnerable due to their lower yields and sensitivity to China's currency policies, he added. REUTERS
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