USD/CNY fix: 6.8998 vs. estimated 6.9153

In recent trade today, the People’s Bank of China (PBOC) set the yuan (CNY) at 6.8998 vs the last close of 6.9015 and estimated  6.9153. This is a strong fix that could lend some support to the Aussie. This is the weakest fix since August 26, 2020.

About the fix

China maintains strict control of the yuan’s rate on the mainland.

The onshore yuan (CNY) differs from the offshore one (CNH) in trading restrictions, this last one is not as tightly controlled.

Each morning, the People’s Bank of China (PBOC) sets a so-called daily midpoint fix, based on the yuan’s previous day's closing level and quotations taken from the inter-bank dealer.