# China’s central bank puts the yuan’s exchange-rate swings in crosshairs | South China Morning Post

> The PBOC pledged to resolutely guard against excessive yuan fluctuations after the currency slipped to a seven-month low of 7.2659 per dollar. The Japanese yen also weakened to a 38-year low beyond 161 per dollar that week, as interest rate gaps lifted the dollar.

- Date: 2024-06-28 · published 2024-06-28T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/30006-china-s-central-bank-puts-the-yuan-s-exchange-rate-swings-in-crosshairs-south
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Yuan weakness and a strong dollar raise China's import costs for dollar-priced grains and oilseeds, which can weigh on Chinese buying and on dollar-denominated prices.

## Read by commodity

- DXY: bullish ▲
- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2018-08-30 | [Macroscope \| China’s yuan sinks, but neither its central bank nor investors are showing signs of panic \| South China Morning Post](https://feedsoft.ai/events/63747-macroscope-china-s-yuan-sinks-but-neither-its-central-bank-nor-investors-are.md) | +0.2% | +1.0% |
| USDCNY | 2022-05-05 | [US Fed rate hike: how can China stem capital outflow and prop up the yuan? \| South China Morning Post](https://feedsoft.ai/events/8315-us-fed-rate-hike-how-can-china-stem-capital-outflow-and-prop-up-the-yuan-south.md) | +1.7% | +0.8% |
| USDCNY | 2017-09-21 | [Across The Border \| Why Beijing’s tight grip on the economy is bad news for the yuan \| South China Morning Post](https://feedsoft.ai/events/69190-across-the-border-why-beijing-s-tight-grip-on-the-economy-is-bad-news-for-the.md) | +1.1% | +0.6% |
| USDCNY | 2021-11-02 | [Macroscope \| Why the wind behind the Chinese yuan’s strength is likely to die down in 2022 \| South China Morning Post](https://feedsoft.ai/events/44273-macroscope-why-the-wind-behind-the-chinese-yuan-s-strength-is-likely-to-die.md) | -0.1% | -0.5% |
| USDCNY | 2018-06-29 | [Offshore yuan drops faster than onshore currency as trade war fears, central bank policies spook international investors \| South China Morning Post](https://feedsoft.ai/events/64732-offshore-yuan-drops-faster-than-onshore-currency-as-trade-war-fears-central.md) | +0.2% | +2.8% |
| DXY | 2022-05-05 | [US Fed rate hike: how can China stem capital outflow and prop up the yuan? \| South China Morning Post](https://feedsoft.ai/events/8315-us-fed-rate-hike-how-can-china-stem-capital-outflow-and-prop-up-the-yuan-south.md) | +0.7% | -1.2% |
| DXY | 2026-07-29 | [With the central exchange rate surpassing its peak, will year-end pressure increase?](https://feedsoft.ai/events/18662-with-the-central-exchange-rate-surpassing-its-peak-will-year-end-pressure.md) | -0.9% | -2.0% |
| DXY | 2018-09-27 | [World’s two largest economies diverge as China leaves key interest rate unchanged in wake of US Fed cut \| South China Morning Post](https://feedsoft.ai/events/63271-world-s-two-largest-economies-diverge-as-china-leaves-key-interest-rate.md) | +0.4% | +1.6% |

## Sources

- scmp.com: https://www.scmp.com/economy/china-economy/article/3268502/chinas-central-bank-puts-yuans-exchange-rate-swings-crosshairs

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