The yuan fell to the lowest level in 4 years

The yuan fell to the lowest level in 4 years

Moscow. December 28. The yuan exchange rate against the us dollar by the end of market trading on Monday fell to its lowest level in four years, since the collapse of the stock market China spurred concerns about capital outflows amid of economic slowdown, writes Bloomberg.

Chinese stock index Shanghai Composite lost December 28 2.6 percent – the maximum drop since November 27, rally of stock markets of developing countries has stalled.

The spot rate of the Chinese national currency at the auction in Shanghai fell on Monday by 0.18% to 6,4880 yuan/$1, its lowest level since may 2011.

The people’s Bank of China (PBC, the Central Bank of the country) on Monday lowered the reference rate by 0.06% to 6,4760 yuan/$1. The market rate may differ from the reference by no more than 2% in any direction.

Meanwhile, at auction in Hong Kong, the yuan rose in price at first, but by the end of the session, the trend is broken, and the Chinese national currency has fallen in price on 0,18% – to 6,5542 yuan/$1.

Since the beginning of 2015 the Renminbi fell by 4.3% in Shanghai and by 5.2% in Hong Kong.

As reported, on January 4, the Chinese foreign exchange trading system (CFETS) will extend the trading session for the yuan in Shanghai twice. Trading session starting at 9:30 local time and will close at 23:30 local time. Currently session to trade in the yuan in Shanghai closes at 16:30 local time.

The extension of the trading session will support the efforts of the Chinese authorities in terms of globalization of the yuan after the inclusion of the national currency to the basket of special drawing rights (SDR, SDR) of the International monetary Fund, experts say.