# JPMorgan sees yuan weakness continuing, possibility of "circuit breaker"

> JPMorgan analysts expect yuan weakness to continue and suggest the People's Bank of China may need a stronger daily fixing as a circuit breaker. The yuan rallied on Tuesday after the central bank set its fixing stronger than expected for a second day.

- Date: 2023-06-27 · published 2023-06-27T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/10491-jpmorgan-sees-yuan-weakness-continuing-possibility-of-circuit-breaker
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

Expectations of continued weakness combined with official intervention create two-way risk for China-linked currency and commodity flows, so buyers should watch the fixing and any policy follow-through.

## Read by commodity

- USDCNY: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2021-05-28 | [CX Daily: Yuan’s Strength Seen Continuing as Dollar Weakens - Caixin Global](https://feedsoft.ai/events/47324-cx-daily-yuan-s-strength-seen-continuing-as-dollar-weakens-caixin-global.md) | +0.2% | +1.1% |
| USDCNY | 2023-06-29 | [Policy measures China's central bank could use to stem yuan weakness](https://feedsoft.ai/events/35711-policy-measures-china-s-central-bank-could-use-to-stem-yuan-weakness.md) | +0.1% | -1.0% |
| USDCNY | 2016-06-20 | [Chinese yuan strengthens ahead of Brexit vote \| South China Morning Post](https://feedsoft.ai/events/10880-chinese-yuan-strengthens-ahead-of-brexit-vote-south-china-morning-post.md) | +0.5% | +1.8% |
| USDCNY | 2023-08-21 | [EXCLUSIVE: China state banks seen mopping up offshore yuan to stem currency weakness \| Reuters](https://feedsoft.ai/events/34803-exclusive-china-state-banks-seen-mopping-up-offshore-yuan-to-stem-currency.md) | +0.1% | +0.2% |
| USDCNY | 2017-12-28 | [China's yuan rises on US dollar weakness, on track for best year since 2008 - Times of News](https://feedsoft.ai/events/67709-china-s-yuan-rises-on-us-dollar-weakness-on-track-for-best-year-since-2008.md) | -1.0% | -3.6% |

## Sources

- reuters.com: https://www.reuters.com/markets/currencies/jpmorgan-sees-yuan-weakness-continuing-possibility-circuit-breaker-2023-06-27/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.