(Yicai Global) Sept. 14 -- The central parity rate of the yuan (CNY) against the US (USD) dropped 83 basis points before today's opening of the interbank market, the third day in a row it has fallen.
The China Foreign Exchange Trade System (CFETS), the interbank trading and foreign exchange division of China's central bank, the People's Bank of China (PBOC), set the yuan central parity rate at 6.5465 against the dollar, as against the official close of 6.5309 yesterday.
The yuan-dollar onshore spot exchange rate went down to 6.5447 at the close of night trading yesterday, while the yuan-dollar offshore spot exchange rate fell to 6.5467.
The dollar index strengthened 0.050 points to 92.440 at 9.24 a.m.
Liquidity pressure seems to have reversed, with market forces driving the stronger yuan since mid-August, Goldman Sachs analysts noted.
PBOC slashed its purchase of foreign exchange reserves to zero, suggesting policymakers' eased concerns over cross-border capital flows and hinting at the possibility of their relaxing other capital control measures.