# Major Chinese banks seen swapping yuan for dollars in forwards: traders | Reuters

> Reuters reports that major Chinese banks were seen swapping yuan for dollars in forward contracts, according to traders. The move is part of market activity around the currency's recent weakness.

- Date: 2018-10-30 · published 2018-10-30T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/62767-major-chinese-banks-seen-swapping-yuan-for-dollars-in-forwards-traders-reuters
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

Forward swaps by state-linked banks can signal official efforts to manage yuan weakness, which affects the dollar cost of Chinese imports of US feed ingredients. The impact on commodity prices is likely limited.

## Read by commodity

- USDCNY: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2021-03-16 | [Chinese state banks seen using FX swaps to absorb dollars, sources say](https://feedsoft.ai/events/48334-chinese-state-banks-seen-using-fx-swaps-to-absorb-dollars-sources-say.md) | +0.1% | +0.7% |
| USDCNY | 2020-12-31 | [China state banks buy dollars to ease sharp yuan rally, traders say](https://feedsoft.ai/events/49863-china-state-banks-buy-dollars-to-ease-sharp-yuan-rally-traders-say.md) | -0.7% | -0.8% |
| USDCNY | 2025-04-29 | [China ramps up global yuan push, seizing on retreating dollar \| Reuters](https://feedsoft.ai/events/25348-china-ramps-up-global-yuan-push-seizing-on-retreating-dollar-reuters.md) | -0.3% | -1.4% |
| USDCNY | 2018-11-14 | [US-China trade war: Tariffs spur record dollar-yuan currency trading](https://feedsoft.ai/events/62265-us-china-trade-war-tariffs-spur-record-dollar-yuan-currency-trading.md) | -0.1% | -1.1% |
| USDCNY | 2018-09-11 | [US-China trade war: Investors could soon favor yuan over dollar, former PBOC governor says](https://feedsoft.ai/events/63269-us-china-trade-war-investors-could-soon-favor-yuan-over-dollar-former-pboc.md) | -0.0% | +1.0% |

## Sources

- reuters.com: https://www.reuters.com/article/us-china-yuan-forwards/major-chinese-banks-seen-swapping-yuan-for-dollars-in-forwards-traders-idUSKCN1N40A8/?il=0

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