Chinese yuan ends flat

16 Jul, 2004

The yuan ended flat versus the US dollar at 8.2767 on Thursday near the stronger end of its trading range.
The one-year non-deliverable dollar forward discount versus the yuan was at 1,100 points implying a rate of 8.168 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 5.20/5.70 percent on Thursday.
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, a moderate $840 million on Wednesday, was not immediately available. The yuan strengthened to 7.5609 against 100 Japanese yen from 7.5656, but softened versus the euro to 10.2237 from 10.2123.

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