# Yuan eases to 3-week low after Fed takes more hawkish outlook - Markets - Business Recorder

> The yuan weakened to a three-week low against the dollar after the Federal Reserve brought forward its projection for interest rate hikes into 2023. The PBOC set its midpoint fix weaker than expected, and the dollar index rose.

- Date: 2021-06-17 · published 2021-06-17T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/7119-yuan-eases-to-3-week-low-after-fed-takes-more-hawkish-outlook-markets-business
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A firmer dollar and the Fed's hawkish shift tend to pressure dollar-priced commodities, and a weaker yuan makes Chinese buyers less willing to pay up for U.S. feed grains and meal.

## Read by commodity

- DXY: bullish ▲
- USDCNY: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| USDCNY | 2021-06-17 | 1 | +0.8% | 4.5 | The hawkish Fed projection of rate hikes in 2023 lifted the dollar and pushed the yuan to a three-week low on the day of the move, directly explaining the CNY/USD jump. |
| USDCNY | 2021-06-23 | 5 | +1.2% | 2.9 | The Fed's hawkish projection of rate hikes in 2023 lifted the dollar and pushed the yuan to a three-week low, which is the main driver of the CNY per USD rise. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2021-01-11 | [China's yuan eases to 1-week low to reflect dollar rebound - Markets - Business Recorder](https://feedsoft.ai/events/49365-china-s-yuan-eases-to-1-week-low-to-reflect-dollar-rebound-markets-business.md) | +0.1% | -0.6% |
| USDCNY | 2023-03-02 | [China’s yuan weakens on Fed official’s hawkish comments - Markets - Business Recorder](https://feedsoft.ai/events/37094-china-s-yuan-weakens-on-fed-official-s-hawkish-comments-markets-business.md) | +1.2% | +0.3% |
| USDCNY | 2026-06-18 | [China's yuan weakens to one-week low on strong dollar, Fed hike bets weigh - Markets - Business Recorder](https://feedsoft.ai/events/8413-china-s-yuan-weakens-to-one-week-low-on-strong-dollar-fed-hike-bets-weigh.md) | +0.6% | +0.3% |
| USDCNY | 2023-12-11 | [China’s yuan weakens to 3-week low, hurt by deflation signs - Markets - Business Recorder](https://feedsoft.ai/events/6455-china-s-yuan-weakens-to-3-week-low-hurt-by-deflation-signs-markets-business.md) | -0.7% | +0.0% |
| USDCNY | 2025-09-26 | [China’s yuan touches 3-week low, looks set for biggest weekly drop since July - Markets - Business Recorder](https://feedsoft.ai/events/23111-china-s-yuan-touches-3-week-low-looks-set-for-biggest-weekly-drop-since-july.md) | -0.2% | -0.2% |
| DXY | 2021-01-11 | [China's yuan eases to 1-week low to reflect dollar rebound - Markets - Business Recorder](https://feedsoft.ai/events/49365-china-s-yuan-eases-to-1-week-low-to-reflect-dollar-rebound-markets-business.md) | +0.2% | +0.4% |
| DXY | 2026-06-18 | [China's yuan weakens to one-week low on strong dollar, Fed hike bets weigh - Markets - Business Recorder](https://feedsoft.ai/events/8413-china-s-yuan-weakens-to-one-week-low-on-strong-dollar-fed-hike-bets-weigh.md) | +1.4% | +1.0% |
| DXY | 2021-06-17 | [South Africa's rand hits one-month low on hawkish Fed, stocks fall - Markets - Business Recorder](https://feedsoft.ai/events/46878-south-africa-s-rand-hits-one-month-low-on-hawkish-fed-stocks-fall-markets.md) | +1.1% | +1.7% |

## Sources

- brecorder.com: https://www.brecorder.com/news/40100830

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