(Yicai Global) Dec. 25 -- The People's Bank of China has fixed the country's currency to a stronger stand against the US dollar this morning. The redback has become firmer as US markets have recoiled amid a bourse rout.
The China Foreign Exchange Trade System, functioning under the central bank, set the yuan to fetch USD6.8845, which is 74 pips stronger than yesterday. This is also 15 basis points firmer than the closing price of 6.8860 yesterday.
The CFETS sets the benchmark separately for each business day. Spot rates may rise or fall 2 percent above or below the figure.
The yuan has climbed over 100 pips to a two-week peak against the US dollar, but volatility is expected for the short-term, financial information outlet Forex Cnfol reported, citing traders.
The greenback has met some tumult since the Fed raised the central bank's benchmark interest rate for the fourth time this year on Dec. 19, after which President Donald Trump reportedly considered firing Chairman Jerome Powell. In terms of trading, US stocks had their poorest Christmas Eve ever.
Editor: Emmi Laine