Yuan Rose To More Than 2 Year Highs Despite Tense Sino-US Relations

Yuan Rose To More Than 2 Year Highs Despite Tense Sino-US Relations

04 Dec 2020 11:35 AM
 

Yuan rose to a fresh 2 1/2-year high against a weakening dollar, despite fresh signs of tension between the US and Chinese economy.

The currency market didn't immediately respond to the Trump administration's decision to add China's top chipmaker, SMIC, and oil giant CNOOC to a blacklist of alleged Chinese military companies, but investors continue to closely monitor the developments in Sino-U.S. relations before President-elect Joe Biden takes office.

The People's Bank of China (PBOC) set the midpoint rate at a two-week high of 6.5507 per dollar, stronger than the previous fix of 6.5592.

The onshore spot Yuan opened at 6.5430 per dollar and rose to a high of 6.5391, the strongest level since June 26, 2018 while the offshore Yuan was trading at 6.5301 per dollar.