# China Is Striving to Contain Its Once-Diving, Now-Thriving Yuan

> The PBOC said it will scrap a two-year-old rule requiring deposits on currency forward trades that bet on yuan declines. The move makes it cheaper for firms and investors to buy dollars and sell yuan. The central bank cited the need to fend off macro-financial risks.

- Date: 2017-09-10 · published 2017-09-10T12:00:00.000Z
- Category: policy · region China · magnitude medium
- Page: https://feedsoft.ai/events/9413-china-is-striving-to-contain-its-once-diving-now-thriving-yuan
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

Removing the deposit requirement eases pressure on the yuan to strengthen, which could support a weaker yuan against the dollar. A weaker yuan can make Chinese purchases of US and Brazilian feed commodities more expensive in local terms.

## Read by commodity

- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2026-03-15 | [China encourages dollar buying to slow surging yuan](https://feedsoft.ai/events/11466-china-encourages-dollar-buying-to-slow-surging-yuan.md) | -0.2% | -1.0% |
| USDCNY | 2026-02-27 | [Yuan Snaps Rising Streak After China Cuts Cost to Short Currency - Bloomberg](https://feedsoft.ai/events/7897-yuan-snaps-rising-streak-after-china-cuts-cost-to-short-currency-bloomberg.md) | +0.7% | +1.0% |
| USDCNY | 2020-10-28 | [Yuan eases after China tweaks fixing formula to rein in strength \| Financial Post](https://feedsoft.ai/events/50848-yuan-eases-after-china-tweaks-fixing-formula-to-rein-in-strength-financial-post.md) | -0.4% | -1.9% |
| USDCNY | 2024-11-26 | [China's yuan slides to four-month low on Trump's tariff promise \| Reuters](https://feedsoft.ai/events/27628-china-s-yuan-slides-to-four-month-low-on-trump-s-tariff-promise-reuters.md) | +0.6% | +0.8% |
| USDCNY | 2021-01-06 | [China moves to curb yuan rally pressure due to hot money and export concerns \| South China Morning Post](https://feedsoft.ai/events/49366-china-moves-to-curb-yuan-rally-pressure-due-to-hot-money-and-export-concerns.md) | +0.1% | +0.3% |

## Sources

- wsj.com: https://www.wsj.com/articles/china-is-striving-to-contain-its-once-diving-now-thriving-yuan-1505046202?mod=djem10point

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