# Exclusive - China ready to slow yuan descent, worried about capital outflows: sources

> The yuan fell to an eight-year low of 6.8950 per dollar on Friday, extending a sharp weekly decline. The fall so far this year stands at 5.8 percent, which would be the yuan's biggest annual drop since the 2005 revaluation. Sources say Beijing is ready to slow the depreciation because of worries about capital outflows.

- Date: 2016-11-18 · published 2016-11-18T12:00:00.000Z
- Category: macro · region China · magnitude medium
- Page: https://feedsoft.ai/events/74060-exclusive-china-ready-to-slow-yuan-descent-worried-about-capital-outflows
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

A weaker yuan makes Chinese feed ingredient purchases from dollar-priced suppliers more expensive in local currency, which can slow import demand for soybeans and meal. Official efforts to slow the decline could limit further currency-driven pressure on Chinese buying.

## Read by commodity

- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2018-07-04 | [Exclusive: China to be less interventionist on yuan than in 2015 - sources \| Reuters](https://feedsoft.ai/events/64269-exclusive-china-to-be-less-interventionist-on-yuan-than-in-2015-sources-reuters.md) | +0.6% | +2.7% |
| USDCNY | 2025-05-01 | [EXCLUSIVE: China's central bank asks state lenders to reduce dollar purchases, sources say](https://feedsoft.ai/events/25347-exclusive-china-s-central-bank-asks-state-lenders-to-reduce-dollar-purchases.md) | -0.6% | -1.2% |
| USDCNY | 2022-05-05 | [US Fed rate hike: how can China stem capital outflow and prop up the yuan? \| South China Morning Post](https://feedsoft.ai/events/8315-us-fed-rate-hike-how-can-china-stem-capital-outflow-and-prop-up-the-yuan-south.md) | +1.7% | +0.8% |
| USDCNY | 2025-02-27 | [China steps up scrutiny of capital flows as yuan depreciates](https://feedsoft.ai/events/26288-china-steps-up-scrutiny-of-capital-flows-as-yuan-depreciates.md) | -0.1% | +0.1% |
| USDCNY | 2017-02-07 | [USD/CNY to rise as China’s capital outflows intensifies: Strategist](https://feedsoft.ai/events/72721-usd-cny-to-rise-as-china-s-capital-outflows-intensifies-strategist.md) | +0.3% | +0.6% |

## Sources

- reuters.com: https://www.reuters.com/article/us-china-economy-yuan-exclusive-idUSKBN13D13L/?feedName=businessNews&feedType=RSS

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