Chinese yuan notches weaker

03 Apr, 2004

The yuan ended two notches weaker versus the dollar at 8.2770 on Friday, remaining near the stronger end of its managed trading range.
The one-year non-deliverable dollar forward discount versus the yuan was at 3,600 points implying a rate of 7.918 yuan per dollar in 12 months' time.
NDFs are transactions where a forward price is agreed between a customer and a bank, but settlement on the value date is undertaken entirely in US dollars.
One-year implied yuan volatility was traded at 7.75/8.70 percent on Friday.
The yuan moves in a band of 8.2760 to 8.2800 enforced by the central bank.
Turnover for the day was temporarily unavailable. It rose to $830 million on Thursday. The yuan strengthened to 7.9362 against 100 Japanese yen from 7.9472 but softened against the euro to 10.2168 from 10.1552.

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