# 'Do not bet': China's central bank PBOC warns against yuan speculation

> The People's Bank of China warned against one-sided bets on the yuan in a statement late on September 28, 2022, following a speech by vice governor Liu Guoqiang. The yuan had weakened past 7.2 per dollar to its weakest since 2008 that week. The central bank also asked banks to keep the foreign exchange market stable.

- Date: 2022-09-29 · published 2022-09-29T12:00:00.000Z
- Category: macro · region China · magnitude medium
- Page: https://feedsoft.ai/events/39805-do-not-bet-china-s-central-bank-pboc-warns-against-yuan-speculation
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

A sharply weaker yuan makes Chinese buyers' dollar-priced feed imports more expensive and can slow purchases of US and Brazilian feed ingredients. Official intervention to slow the fall may limit further depreciation, but the outlook for China's import demand stays uncertain.

## Read by commodity

- USDCNY: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2023-09-11 | [China issues strong warning against bets on renminbi depreciation](https://feedsoft.ai/events/34332-china-issues-strong-warning-against-bets-on-renminbi-depreciation.md) | -0.9% | -0.6% |
| USDCNY | 2021-04-19 | [Global Reflation Trade Gains New Momentum From China’s Yuan - Bloomberg](https://feedsoft.ai/events/47815-global-reflation-trade-gains-new-momentum-from-china-s-yuan-bloomberg.md) | -0.4% | -1.3% |
| USDCNY | 2018-02-09 | [China says yuan no longer a one-way bet as currency slides against US dollar \| South China Morning Post](https://feedsoft.ai/events/66717-china-says-yuan-no-longer-a-one-way-bet-as-currency-slides-against-us-dollar.md) | +0.3% | +0.1% |
| USDCNY | 2020-10-30 | [As China's yuan becomes a Biden election play, PBOC pushes back \| Financial Post](https://feedsoft.ai/events/50847-as-china-s-yuan-becomes-a-biden-election-play-pboc-pushes-back-financial-post.md) | -1.7% | -2.1% |
| USDCNY | 2021-01-26 | [Chinese Yuan Outlook: Tightening Measures From China’s Central Bank Sends A Warning Shot To Risk Markets](https://feedsoft.ai/events/49363-chinese-yuan-outlook-tightening-measures-from-china-s-central-bank-sends-a.md) | -0.2% | -0.2% |

## Sources

- cnbc.com: https://www.cnbc.com/2022/09/29/do-not-bet-chinas-central-bank-pboc-warns-against-yuan-speculation.html

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