# EXCLUSIVE: Chinese exporters using currency swaps to retain dollars as yuan sags | Reuters

> Chinese exporters are reported to be using currency swaps to keep dollar holdings as the yuan weakens. The yuan has lost more than 5% against the dollar this year, including about 2% in August, and foreign capital is flowing out of the slowing economy.

- Date: 2023-08-31 · published 2023-08-31T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/34799-exclusive-chinese-exporters-using-currency-swaps-to-retain-dollars-as-yuan-sags
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md), [Soybeans](https://feedsoft.ai/c/SOY.md)

## Why it matters

A weaker yuan makes Chinese purchases of feed inputs like soybeans and meal more expensive in dollar terms, which can dampen Chinese import demand and weigh on US feed commodity prices.

## Read by commodity

- SOY: bearish ▼
- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2022-09-28 | [Chinese yuan: Currency hits record lows against US dollar - BBC News](https://feedsoft.ai/events/7208-chinese-yuan-currency-hits-record-lows-against-us-dollar-bbc-news.md) | -0.9% | -0.1% |
| USDCNY | 2017-04-25 | [China's yuan dips against US dollar, falls to record low against currency basket - The Business Times](https://feedsoft.ai/events/71709-china-s-yuan-dips-against-us-dollar-falls-to-record-low-against-currency-basket.md) | +0.1% | -0.0% |
| USDCNY | 2024-12-11 | [EXCLUSIVE: Chinese authorities are considering a weaker yuan as Trump trade risks loom \| Reuters](https://feedsoft.ai/events/27164-exclusive-chinese-authorities-are-considering-a-weaker-yuan-as-trump-trade.md) | +0.5% | +1.1% |
| USDCNY | 2018-07-20 | [China’s yuan falls against dollar, helping exporters \| The Seattle Times](https://feedsoft.ai/events/64270-china-s-yuan-falls-against-dollar-helping-exporters-the-seattle-times.md) | +0.2% | +1.6% |
| USDCNY | 2021-07-28 | [Asian currencies: Chinese yuan, Hong Kong dollar weaken as China stocks fall](https://feedsoft.ai/events/46285-asian-currencies-chinese-yuan-hong-kong-dollar-weaken-as-china-stocks-fall.md) | -0.6% | -0.6% |
| SOY | 2024-12-11 | [EXCLUSIVE: Chinese authorities are considering a weaker yuan as Trump trade risks loom \| Reuters](https://feedsoft.ai/events/27164-exclusive-chinese-authorities-are-considering-a-weaker-yuan-as-trump-trade.md) | -1.8% | -0.3% |
| SOY | 2024-05-29 | [Chinese yuan falls to six-month low on dollar strength - Nikkei Asia](https://feedsoft.ai/events/30488-chinese-yuan-falls-to-six-month-low-on-dollar-strength-nikkei-asia.md) | -4.1% | -5.4% |
| SOY | 2018-11-01 | [China to defend 7 yuan per dollar rate, but may find it tough: Reuters poll](https://feedsoft.ai/events/62264-china-to-defend-7-yuan-per-dollar-rate-but-may-find-it-tough-reuters-poll.md) | +3.4% | +5.8% |

## Sources

- reuters.com: https://www.reuters.com/markets/currencies/chinese-exporters-using-currency-swaps-retain-dollars-yuan-sags-2023-08-31/

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