Yuan Firms Ahead of Holiday – 27 January, 2022
Chinese 100 yuan banknotes are seen on a counter of a branch of a commercial bank in Beijing, China, March 30, 2016. REUTERS/Kim Kyung-Hoon/File Photo
The Chinese yuan managed to recover from some losses against the dollar following its biggest one-day weakening in more than seven months, though trading was quieter as the Lunar New Year approaches. The onshore yuan opened at 6.3600 per dollar, 130 pips higher than the last session close on Thursday, when the yuan ended 484 pips weaker. The offshore yuan was firm at 6.3595 per dollar. The yuan’s fall has been controlled this month by strong seasonal corporate demand for the currency ahead of China’s week-long Lunar New Year holiday, which begins Monday.