PBoC is expected to set USD/CNY mid-point at 6.9896 (prev. 7.0173)

The PBoC's decision to set the USD/CNY mid-point significantly lower at 6.9896, down from the previous 7.0173, implies a more supportive stance towards the yuan, potentially aimed at stabilizing economic sentiment.

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PBoC is expected to set USD/CNY mid-point at 6.9896 (prev. 7.0173)

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This shift may influence flows into risk-sensitive assets and could prompt adjustments in the forex markets, particularly affecting the dollar's strength against the yuan and broader currencies.

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