# China's cascade of economic support measures spurs yuan buying - The Business Times

> The offshore yuan rose 0.4% to 6.8591 per dollar, extending a four-day rally to nearly 1%. Policymakers announced a package of support measures, including looser mortgage rules for first-home buyers and easier developer borrowing, to shore up the Covid-hit economy. The currency has recovered about 7% since its record low on October 25.

- Date: 2023-01-06 · published 2023-01-06T12:00:00.000Z
- Category: policy · region China · magnitude medium
- Page: https://feedsoft.ai/events/12764-china-s-cascade-of-economic-support-measures-spurs-yuan-buying-the-business
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

Broad Chinese stimulus supports growth expectations and import demand, while yuan strength lowers the dollar cost of imports. USD/CNY is trending lower.

## Read by commodity

- USDCNY: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| USDCNY | 2023-01-10 | 5 | -2.0% | -2.8 | Property and developer support measures spurred yuan buying and extended a four-day rally of nearly 1%, contributing to the drop in USD/CNY. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2017-09-10 | [China's yuan slips, rally pauses after relaxation of FX outflow curbs - The Business Times](https://feedsoft.ai/events/9411-china-s-yuan-slips-rally-pauses-after-relaxation-of-fx-outflow-curbs-the.md) | +1.1% | +2.7% |
| USDCNY | 2022-04-26 | [China cuts banks’ FX reserve ratio to support yuan - Business & Finance - Business Recorder](https://feedsoft.ai/events/7640-china-cuts-banks-fx-reserve-ratio-to-support-yuan-business-and-finance-business.md) | +0.8% | +1.4% |
| USDCNY | 2026-02-27 | [China encourages dollar buying to slow surging yuan \| Reuters](https://feedsoft.ai/events/7895-china-encourages-dollar-buying-to-slow-surging-yuan-reuters.md) | +0.7% | +1.0% |
| USDCNY | 2022-09-06 | [Why China's central bank is shoring up the yuan](https://feedsoft.ai/events/12268-why-china-s-central-bank-is-shoring-up-the-yuan.md) | +0.4% | +3.1% |
| USDCNY | 2024-12-19 | [China's central bank offers strongest yuan support since July after dollar gains](https://feedsoft.ai/events/27167-china-s-central-bank-offers-strongest-yuan-support-since-july-after-dollar-gains.md) | +0.2% | +0.5% |

## Sources

- businesstimes.com.sg: https://www.businesstimes.com.sg/companies-markets/chinas-cascade-economic-support-measures-spurs-yuan-buying

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