PBOC sets yuan’s mid price stronger for second day
The People’s Bank of China set the yuan’s mid price at 6.3402 against the US dollar on Thursday, six points stronger from the level on Wednesday.
The onshore yuan was trading at 6.3429 against the green back by 10:15 am, after it closed trading at 6.3462 on Wednesday. The offshore yuan traded at 6.3418 against the US dollar.
The Singapore dollar continued strengthening after the Monetary Authority of Singapore said it would adopt easing measures to reduce the speed of the currency’s appreciation. It traded at 1.3769 against the dollar at 10:15 am.
Heng Koon-how, a senior currency strategist with Credit Suisse private banking, said they continue to see mild weakness in SGD to 1.45 against USD in 12 months.
“This latest decision by the MAS to ease monetary policy marginally has resulted in some temporary strength in the SGD against the USD…while in line with the weaker growth and inflation outlook for Singapore, the SGD can be expected to weaken further,” he wrote in a note on Wednesday.
By 10:15 am, Eur/dlr strengthened 0.02 per cent at 1.1472. The pound/dlr firmed 0.03 per cent at 1.5473. The yen/dlr was traded 0.22 per cent weaker at 119.0900 yen to the greenback.