(Yicai Global) Sept. 9 -- The yuan rose sharply against the US dollar at around 3.00 p.m. on Sept.7 on the onshore market, breaking the 6.5 milestone and marking its highest level in 16 months.

At 4.30 p.m., the onshore yuan closed at its highest level since May 12, 2016, up 0.44 percent at 6.4981. The offshore yuan rose 0.5 percent to 6.5073 against the greenback.

The central parity rate of the yuan against the dollar declined 42 basis points today. China's state bank interbank trading and foreign exchange division set the rate at 6.5269 on Sept. 9 compared with an official close of 6.5246 on Wednesday. It was the ninth consecutive day that the central parity rate of the yuan has risen, the longest period since 2011.

China's foreign reserves reached USD3.0915 trillion at the end of August, compared with USD3.0807 trillion a month earlier, data from the People's Bank of China show.

The dollar index dropped 0.36%, to 91.89 at 5.41 p.m.