(Yicai Global) Jan. 31 -- The yuan continues to climb higher, reaching another six-month new high as the US Federal Reserve confirmed a less hawkish stance overnight.

The onshore spot rate breached the 6.7 threshold for most of the day, going as low as 6.6904, the strongest point since 17 July last year. The offshore rate also went as low as 6.6984 during the day.

The onshore spot rate closed at 6.7055 at 4.30 p.m, 76 basis points lower than yesterday's close. The offshore spot rate was 6.7152, 30 points up on yesterday's close in New York.

The People's Bank of China fixed the central parity rate at 6.7025 against the greenback this morning, also marking its highest level since July. 

Despite concerns over a slowdown in economic growth, the yuan has seen an uptrend against the dollar since early November. The latest Fed monetary policy adjustment is one important factor as well as the expectation that more global capital will flow into yuan-denominated assets this year.

New York-based Bloomberg LP confirmed today that it will add yuan-denominated government and policy bank securities to the Bloomberg Barclays Global Aggregate Index, starting from April as planned. The market is expecting as much as USD100 billion in foreign capital to flow into the Chinese bond market for this event alone.