# Chinese Yuan Outlook: Tightening Measures From China’s Central Bank Sends A Warning Shot To Risk Markets

> The People's Bank of China withdrew about $12 billion of liquidity from the banking system, following earlier tightening aimed at property prices. PBOC adviser Ma Jun warned of asset bubbles, and Chinese stocks fell 1.5% to 2%.

- Date: 2021-01-26 · published 2021-01-26T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/49363-chinese-yuan-outlook-tightening-measures-from-china-s-central-bank-sends-a
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

Signs of tighter Chinese monetary policy can weigh on risk appetite and Chinese demand expectations for imported feed ingredients. The yuan itself barely moved, so the direct link to feed prices is limited.

## Read by commodity

- USDCNY: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2017-08-17 | [Markets still bewildered after China central bank explains yuan 'X'-factor - The Business Times](https://feedsoft.ai/events/69677-markets-still-bewildered-after-china-central-bank-explains-yuan-x-factor-the.md) | -0.5% | -2.1% |
| USDCNY | 2023-09-22 | [China’s yuan bounces on state bank support, offshore tightness - Markets - Business Recorder](https://feedsoft.ai/events/34329-china-s-yuan-bounces-on-state-bank-support-offshore-tightness-markets-business.md) | -0.1% | +0.1% |
| USDCNY | 2022-09-29 | ['Do not bet': China's central bank PBOC warns against yuan speculation](https://feedsoft.ai/events/39805-do-not-bet-china-s-central-bank-pboc-warns-against-yuan-speculation.md) | -1.2% | +0.3% |
| USDCNY | 2021-10-22 | [China's yuan eases after regulator warn of possible actions to counter higher fluctuations - Markets - Business Recorder](https://feedsoft.ai/events/44778-china-s-yuan-eases-after-regulator-warn-of-possible-actions-to-counter-higher.md) | -0.0% | -0.1% |
| USDCNY | 2024-01-22 | [China’s yuan holds steady on unchanged lending rates; offshore yuan liquidity tight - Markets - Business Recorder](https://feedsoft.ai/events/32359-china-s-yuan-holds-steady-on-unchanged-lending-rates-offshore-yuan-liquidity.md) | -0.2% | -0.0% |

## Sources

- exchangerates.org.uk: https://www.exchangerates.org.uk/news/31774/2021-01-26-chinese-yuan-outlook-tightening-measures-chinas-central-bank-sends-warning-shot-risk-markets.html

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