# China currency market crackdown sees regulators restrict trading in US$30 trillion market, sources say | South China Morning Post

> Chinese regulators are tightening control over currency trading, pressuring banks to trade less and within smaller ranges, according to banking sources. The move is part of a broader campaign to curb speculation and financial risk.

- Date: 2021-09-29 · published 2021-09-29T12:00:00.000Z
- Category: policy · region China · magnitude low
- Page: https://feedsoft.ai/events/45273-china-currency-market-crackdown-sees-regulators-restrict-trading-in-us-30
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

Tighter yuan controls reduce currency volatility for importers of feed grains and meal, but they signal Beijing's willingness to manage the currency, which can affect demand timing for US and Brazilian supplies.

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2017-01-01 | [China tweaks yuan basket to play down US dollar \| South China Morning Post](https://feedsoft.ai/events/73191-china-tweaks-yuan-basket-to-play-down-us-dollar-south-china-morning-post.md) | -0.1% | -1.0% |
| USDCNY | 2019-06-08 | [China is letting value of yuan slide to offset trade war tariffs, US Treasury Secretary Mnuchin says \| South China Morning Post](https://feedsoft.ai/events/58822-china-is-letting-value-of-yuan-slide-to-offset-trade-war-tariffs-us-treasury.md) | +0.3% | -0.4% |
| USDCNY | 2020-04-09 | [Coronavirus: is China re-pegging the yuan to the US dollar to avert a financial crisis? \| South China Morning Post](https://feedsoft.ai/events/53882-coronavirus-is-china-re-pegging-the-yuan-to-the-us-dollar-to-avert-a-financial.md) | +0.0% | +0.5% |
| USDCNY | 2019-08-05 | [U.S. designates China as currency manipulator for first time in decades](https://feedsoft.ai/events/57796-u-s-designates-china-as-currency-manipulator-for-first-time-in-decades.md) | +1.8% | +3.1% |
| USDCNY | 2021-01-06 | [China moves to curb yuan rally pressure due to hot money and export concerns \| South China Morning Post](https://feedsoft.ai/events/49366-china-moves-to-curb-yuan-rally-pressure-due-to-hot-money-and-export-concerns.md) | +0.1% | +0.3% |

## Sources

- scmp.com: https://www.scmp.com/economy/china-economy/article/3150571/china-currency-market-crackdown-sees-regulators-restrict?module=lead_hero_story&pgtype=homepage

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