China academy of arts, University in Beijing, China

The central parity rate of the Chinese currency renminbi, or the yuan, weakened 258 pips to 6.7109 against the US dollar Wednesday, according to China Foreign Exchange Trade System.In China's spot foreign exchange market, the yuan is allowed to rise or fall by 2 per cent from the central parity rate each trading day.The central parity rate of the yuan against the U.S. dollar is based on a weighted average of prices offered by market makers before the opening of the interbank market each business day, reported Xinhua.Meanwhile, foreign investors are dumping yuan and fleeing China post-COVID-19 lockdown and rate cuts which is exacerbating foreign capital outflow.The HK Post reported that investors are exchanging their money from yuan into dollars and driving up the dollar while pushing down the yuan.Rating agency Barclays similarly downgraded its yuan forecast to 6.9 but said the yuan could hit 7 per cent if the lockdowns and supply chain disruptions continue, reported The HK Post.In March, Hong Kong investors sold off a record USD 24.2 billion worth of yuan-denominated debt.The exodus from Chinese investments is fuelled by fears over China's diminishing growth prospects, decreasing bond yield, and higher rates on US investments.While the United States and other Western nations are raising interest rates to combat inflation, China's central bank is considering cutting rates to stimulate the economy.In April, the central bank decreased the reserve requirements from 9 per cent to 8 per cent in a bid to increase the money supply.Investors had already begun moving money out of China by 2021 because of ongoing COVID lockdowns, supply chain issues, and Chinese President Xi Jinping's crackdowns on numerous business sectors, including tech and education.Foreign investors divested USD 6.2 billion of Chinese government bonds in April, marking three straight months of selloffs, the longest sell-off since 2015.( With inputs from ANI )Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

China Academy Of ArtsFOLLOW

China academy of arts, Latest News

New Delhi, June 24 With 36.5 million units shipped, the global PC monitor market posted flat results in ... ...

New Delhi, June 24 A "serious and growing asymmetrical relationship" with China, which has indulged in four instances ... ...

China is putting two prominent civil rights activists, Xu Zhiyong and Ding Jiaxi, through closed-door trials this week for state subversion, media reports said. ...

New Delhi, June 23 The BRICS member nations have a similar approach to the governance of global economy ... ...

New Delhi, June 23 Apple continued to lead the global premium market in Q1 2022, taking 62 per ... ...

New Delhi, June 23 China's Mars sample return mission aims to collect samples from the Red Planet and ... ...

Former Congress Party President Rahul Gandhi on Wednesday lashed out at the Centre by saying that he was not affected by the Enforcement Directorate, which questioned him for five days over his alleged role in the National Herald case. ...

The central parity rate of the Chinese currency renminbi, or the yuan, weakened 258 pips to 6.7109 against the US dollar Wednesday, according to China Foreign Exchange Trade System. ...