PBOC sets USD/ CNY mid-point today at 7.1295 (vs. estimate at 7.1341)

<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 7.1387</p><p>PBOC injects 104bn yuan in open market operations (OMOs) via 7-day reverse repos (RRs) at an unchanged rate of 1.9%</p><ul><li>25bn yuan of RRs mature today</li><li>thus a net 79bn yuan injection on the day in OMOs</li></ul><p>—</p><p>Earlier re China:</p><ul><li><a href="https://www.forexlive.com/centralbank/icymi-ubs-expect-china-rate-cuts-rrr-cut-more-cash-injections-in-h2-2023-20230725/" target="_blank" rel="follow" data-article-link="true">ICYMI – UBS expect China rate cuts, RRR cut, more cash injections in H2 2023</a></li></ul><p>The OMO injections started quick smart!</p>

This article was written by Eamonn Sheridan at www.forexlive.com.