PBOC sets USD/CNY midpoint at 7.1565 versus last close at 7.1942

<p>People's Bank of China set the onshore yuan (CNY) reference rate for the trading session ahead.</p><ul><li>USD/CNY is the onshore yuan. Its permitted to trade plus or minus 2% from this daily reference rate.</li><li>CNH is the offshore yuan. USD /CNH has no restrictions on its trading range.</li><li>A significantly stronger or weaker rate than expected is typically considered a signal from the PBOC.</li></ul><p>The previous close was 7.1942.</p><p>Injects CNY 6 billion via seven-day reverse repose with the rate at 1.90% for a CNY 2 billion net drain.</p><p>The midpoint rate is at the strongest level since August 1</p>

This article was written by Greg Michalowski at www.forexlive.com.