Yuan dips as greenback recovers, though wary over Trump's China intentions
On Thursday, China's Yuan sagged to fresh six-year minimums against the greenback after the major bank set a weaker midpoint for the fifth consecutive day in order to reflect a steep rebound in the greenback overnight.
Traders along with analysts told that uncertainties over the Yuan's direction have soared after Republican Donald Trump's shocking presidential election on Wednesday.
Trump had heavily criticized China throughout his election campaign, drumming up headlines with his pledges to slap up to 45% tariffs on imported Chinese goods and also label China a currency manipulator in his first day in office.
The PBOC set the Yuan’s midpoint rate at 6.7885 per greenback before the market started, which is weaker than the previous fix of about 6.7832.
In the spot market, China’s currency started at 6.7980 per greenback and was trading at 6.7906 at midday, just 129 pips away from last session close and 0.03% away from the midpoint.