Briefly

Yuan weakens against greenback

The central parity rate of the Chinese currency renminbi, or the yuan, weakened 6 pips to 7.1732 against the US dollar on Wednesday, according to the China Foreign Exchange Trade System. In China's spot foreign exchange market, the yuan is allowed to rise or fall by 2 percent from the central parity rate each trading day. The central parity rate of the yuan against the US dollar is based on a weighted average of prices offered by market makers before the opening of the interbank market each business day.

PBOC conducts reverse repos

China's central bank conducted 548.7 billion yuan ($76.49 billion) of seven-day reverse repos at an interest rate of 1.5 percent on Wednesday. The move aims to keep liquidity in the banking system at an adequate level, the People's Bank of China said. A reverse repo is a process in which the central bank purchases securities from commercial banks through bidding, with an agreement to sell them back in the future.

Xinhua - China Daily