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China's foreign exchange reserves rose for a seventh straight month to $3.092 trillion in August. The People's Bank of China may have been a net buyer of foreign currency for the first time since October 2015, as capital outflows slowed and the yuan gained.
A possible return to net foreign-exchange purchases by the central bank signals reduced pressure on the yuan, which can support Chinese import capacity for feed. The data release mainly reflects currency conditions rather than a direct change in feed demand.
reuters.comSep 7, 2017After 24 past report events, Chinese Yuan (CNY per USD) moved a median -0.0% over 5 sessions (46% higher; middle half -0.3% to +0.4%), and -0.9% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
Rising FX reserves and likely PBOC net foreign currency buying point to slower capital outflows, which supported the yuan.
