SHANGHAI, March 5 (Reuters) – China lifted its official yuan midpoint to the strongest level in 34 months and firmer than market projections on Thursday, in what investors interpreted as an attempt to stabilise the Chinese currency.
Prior to market opening, the People’s Bank of China (PBOC) set its midpoint rate at 6.9007 a dollar, 117 pips or 0.07% stronger than its previous setting.
The central bank has been mostly setting a weaker-than-expected guidance rate since late November, Thursday’s fixing, however, was 3 pips firmer than a Reuters’ estimate of 6.9010.
The spot yuan is allowed to trade 2% either side of the fixed midpoint each day.
(Reporting by Shanghai Newsroom; Editing by Christian Schmollinger)
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