# China's Yuan Weakens Amid Manufacturing Contraction - Finimize

> China's yuan weakened after the May manufacturing PMI unexpectedly contracted to 49.5 from 50.4, missing estimates. The PBOC set a firmer midpoint, but spot yuan traded about 92 pips weaker than the prior close.

- Date: 2024-05-31 · published 2024-05-31T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/30491-china-s-yuan-weakens-amid-manufacturing-contraction-finimize
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md), [Soybeans](https://feedsoft.ai/c/SOY.md)

## Why it matters

Weak Chinese manufacturing and a softer yuan point to slower demand and pricier dollar-denominated feed imports, bearish for commodity demand from China.

## Read by commodity

- SOY: bearish ▼
- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2018-07-30 | [China's yuan hits 13-month low on weaker fixing and depreciation bets](https://feedsoft.ai/events/64266-china-s-yuan-hits-13-month-low-on-weaker-fixing-and-depreciation-bets.md) | +0.3% | -0.1% |
| USDCNY | 2020-05-28 | [The Chinese yuan could weaken to 7.40 per dollar amid US-China tensions](https://feedsoft.ai/events/53379-the-chinese-yuan-could-weaken-to-7-40-per-dollar-amid-us-china-tensions.md) | -0.8% | -1.3% |
| USDCNY | 2022-05-11 | [How PBOC might respond to China's weakening yuan](https://feedsoft.ai/events/10987-how-pboc-might-respond-to-china-s-weakening-yuan.md) | +0.0% | -0.8% |
| USDCNY | 2020-02-03 | [China's yuan weakens but falling yen points to risk recovery](https://feedsoft.ai/events/5135-china-s-yuan-weakens-but-falling-yen-points-to-risk-recovery.md) | +1.2% | +0.6% |
| USDCNY | 2022-12-28 | [China's yuan weakens as U.S. dollar gains on sustained inflation outlook \| Financial Post](https://feedsoft.ai/events/38448-china-s-yuan-weakens-as-u-s-dollar-gains-on-sustained-inflation-outlook.md) | -1.0% | -2.4% |
| SOY | 2024-05-30 | [Yuan Hits Six-Month Low Amid Dollar Surge - Finimize](https://feedsoft.ai/events/30493-yuan-hits-six-month-low-amid-dollar-surge-finimize.md) | -3.0% | -5.1% |
| SOY | 2024-10-28 | [China's weakening yuan set to snap three straight months of gains in Oct](https://feedsoft.ai/events/28078-china-s-weakening-yuan-set-to-snap-three-straight-months-of-gains-in-oct.md) | -0.5% | -0.4% |
| SOY | 2022-08-25 | [Inflation-hit world cheers China’s falling yuan \| Reuters](https://feedsoft.ai/events/40261-inflation-hit-world-cheers-china-s-falling-yuan-reuters.md) | -3.4% | -6.6% |

## Sources

- finimize.com: https://finimize.com/content/chinas-yuan-weakens-amid-manufacturing-contraction

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