People’s Bank of China
The People’s Bank of China decided this morning, Monday, to set the exchange rate of the yuan once morest the US dollar at 6.8998 yuan per dollar, while expectations were that it would record 6.9153 yuan, following the previous closing price was 6.9015 yuan per US dollar, and the bank pumped 2 billion dollars. 7-day buyback guarantee.
It should be noted that the Bank of China influences the price of the US dollar USD by linking the value of its currency – the yuan – to the currency of the dollar USD, as the bank uses a fixed exchange rate policy, which differs from the free exchange rate used by the United States and many other countries, while leaving Margin of movement for the currency of China to move in a narrow range.
The Bank of China manages the value of the yuan by keeping it fixed once morest a basket of currencies of countries that are China’s partners. The basket is measured at USD, given that the United States is China’s largest trading partner
