PBOC Raises Yuan-Dollar Central Parity Rate by Another 104 basis points
Tang Shihua
/SOURCE : Yicai
PBOC Raises Yuan-Dollar Central Parity Rate by Another 104 basis points

(Yicai Global)  Nov. 02 -- China's central bank, the People's Bank of China (PBOC), raised the Yuan-Dollar Central Parity Rate by another 104 basis points on Thursday, the biggest one-day hike seen in three weeks.

PBOC has now raised the central parity rate of the yuan against the greenback for three consecutive days after it reached a three-week nadir of 6.6487 on Monday.

The China Foreign Exchange Trade System (CFETS), PBOC's interbank trading and foreign exchange division, set the yuan central parity rate at 6.6196 against the dollar, compared to 6.6161 at Wednesday's official close.

The onshore spot exchange rate of the yuan against the dollar was 6.6020 at the close of night trading on Wednesday, while the offshore spot exchange rate was 6.5948 at 9:33am today.

Overnight, the US central bank held its benchmark interest rate target between 1 percent and 1.25 percent unchanged, as expected. The US Dollar index weakened in early Thursday morning trading.

The Fed already has raised rates twice this year as part of a program for a slow but steady normalization of its monetary policy.

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Keywords: Central Parity Rate , Onshore Yuan , CNY , Offshore , CNH , US Dollar , Foreign Currency