Chinese yuan ends unchanged

22 Jun, 2004

The yuan ended unchanged versus the US dollar at 8.2765 on Monday, remaining near the stronger end of its managed trading range.
The one-year non-deliverable dollar forward discount versus the yuan was at 1,925 points implying a rate of 8.0855 yuan per dollar in 12 months' time.
NDFs are a transaction 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 5.90/6.65 percent on Monday.
Implied volatility is a measure of how much the options market expects the price of the underlying asset to move during the life of the option.
The yuan moves in a band of 8.2760 to 8.2800 enforced by the central bank.
Turnover for the day fell to $580 million from Friday's $810 million.
The yuan ended weaker at 7.6265 against 100 Japanese yen from Friday's 7.5576, and was softer against the euro at 10.0196 from 9.9289.

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