(Yicai Global) Oct. 18 -- The yuan fell to its lowest level against the US dollar since January last year even as the US Treasury Department held off labeling China a currency manipulator in a semi-annual report on exchange rates.

The People's Bank of China today set the yuan's central parity rate at 6.9275, down 172 basis points. It was the currency's weakest point since 6.9307 on Jan. 5, 2017. The previous reference rate stood at 6.9103, while the official closing price was 6.9249 yesterday.

Released yesterday, the Treasury Department's report cleared the US's six major trading partners, including China, of rigging their exchange rates. It is the fourth time since President Donald Trump took office that the country's finance ministry has acquitted China of currency tricks.

Emerging economy currencies -- China's among them -- have lost value amid expectations for further interest rate hikes by the US Federal Reserve Bank. The yuan has lost 7 percent since mid-June. The redback kept within a range of 6.8 to 6.9 from mid-August to late September.

Though the yuan is under pressure, an earlier study by Chinese brokerage Industrial Securities deemed it unlikely to dip below 7 to the dollar.

The yuan was relatively flat against the dollar in early trading today. As of 11.50 a.m., it changed hands for 6.9339, while the offshore yuan was at 6.9341.

Editor: Ben Armour