According to the latest headlines floating on the wires, the People’s Bank of China (PBoC) is said to have met with Yuan fixing banks and urged to avoid ‘herd behaviour’ and to also make efforts to prevent momentum-chasing moves.
Additional comments from a PBoC official:
“¢ China will keep Yuan flexible and allow the currency to move both ways.
“¢ Any pressures on the Yuan will need to be released in a timely manner.
“¢ China will not work against market forces.
“¢ PBoC confident and has plenty of tools to stabilize the market.