# China central bank vows to make yuan more flexible - Gulf Times

> The People's Bank of China pledged to let market forces play a fundamental role and to make the yuan more flexible in both directions. The currency has rebounded more than 2% so far this year, and enforcement of any currency commitment remains an open trade-talk issue.

- Date: 2019-02-25 · published 2019-02-25T12:00:00.000Z
- Category: policy · region China · magnitude low
- Page: https://feedsoft.ai/events/60812-china-central-bank-vows-to-make-yuan-more-flexible-gulf-times
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

Greater yuan flexibility and a clear enforcement mechanism would reduce the risk of depreciation that could erode China's dollar-based demand for US commodities.

## Read by commodity

- USDCNY: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2023-01-13 | [China’s yuan: central bank to boost flexibility of exchange rate to handle ‘shocks’ from overseas monetary policy \| South China Morning Post](https://feedsoft.ai/events/37987-china-s-yuan-central-bank-to-boost-flexibility-of-exchange-rate-to-handle.md) | +0.7% | +1.1% |
| USDCNY | 2019-10-20 | [China’s yuan exchange rate ‘appropriate’ after recent weakening, central bank chief says \| South China Morning Post](https://feedsoft.ai/events/56815-china-s-yuan-exchange-rate-appropriate-after-recent-weakening-central-bank.md) | -0.2% | -0.8% |
| USDCNY | 2017-09-11 | [China central bank relaxes yuan hedging rules as currency strengthens, capital outflows ease \| Reuters](https://feedsoft.ai/events/7799-china-central-bank-relaxes-yuan-hedging-rules-as-currency-strengthens-capital.md) | +1.1% | +2.7% |
| USDCNY | 2021-05-25 | [China state banks buy dollars to curb rapid yuan rally -sources](https://feedsoft.ai/events/47320-china-state-banks-buy-dollars-to-curb-rapid-yuan-rally-sources.md) | -0.6% | +1.0% |
| USDCNY | 2017-01-03 | [China's yuan may see more volatility vs dollar after basket change \| Reuters](https://feedsoft.ai/events/10252-china-s-yuan-may-see-more-volatility-vs-dollar-after-basket-change-reuters.md) | -0.1% | -1.0% |

## Sources

- gulf-times.com: https://www.gulf-times.com/story/623203/china-central-bank-vows-to-make-yuan-more-flexible

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