# Yuan falls to over 2-month low as China cuts lending benchmark | Financial Post

> The yuan fell to its weakest level since December against the dollar after the People's Bank of China cut its one- and five-year loan prime rates to support an economy hit by the coronavirus outbreak. Investors expect further easing, and Citi sees USD/CNY near 7.05 within three months.

- Date: 2020-02-20 · published 2020-02-20T12:00:00.000Z
- Category: macro · region China · magnitude medium
- Page: https://feedsoft.ai/events/54795-yuan-falls-to-over-2-month-low-as-china-cuts-lending-benchmark-financial-post
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

Yuan weakness raises the cost of dollar-priced feed imports for China and eases pressure on its manufacturers, which can support demand for feed ingredients over time. Easing that keeps the yuan soft tends to lift the dollar's value against it.

## Read by commodity

- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2022-04-21 | [China's yuan slides to 6-month low as tightening prospects help dollar \| Financial Post](https://feedsoft.ai/events/7337-china-s-yuan-slides-to-6-month-low-as-tightening-prospects-help-dollar.md) | +2.2% | +5.2% |
| USDCNY | 2022-05-09 | [Chinese Yuan Slips To An 18-Month Low - Asia Financial News](https://feedsoft.ai/events/8317-chinese-yuan-slips-to-an-18-month-low-asia-financial-news.md) | +1.8% | -0.2% |
| USDCNY | 2020-03-30 | [China's overnight onshore dollar/yuan swap points fall to lowest level since 2007 \| Financial Post](https://feedsoft.ai/events/54321-china-s-overnight-onshore-dollar-yuan-swap-points-fall-to-lowest-level-since.md) | -0.0% | -0.2% |
| USDCNY | 2023-06-13 | [China cuts key policy rate as post-Covid recovery fizzles; yuan hits 6-month low](https://feedsoft.ai/events/35715-china-cuts-key-policy-rate-as-post-covid-recovery-fizzles-yuan-hits-6-month-low.md) | +0.5% | +0.3% |
| USDCNY | 2023-06-20 | [Dollar buoyant; yuan wobbles after China cuts lending benchmarks](https://feedsoft.ai/events/11233-dollar-buoyant-yuan-wobbles-after-china-cuts-lending-benchmarks.md) | +1.6% | +0.8% |

## Sources

- financialpost.com: https://financialpost.com/pmn/business-pmn/yuan-falls-to-over-2-month-low-as-china-cuts-lending-benchmark

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