Chinese yuan ends unchanged

03 Aug, 2004

The yuan ended unchanged at 8.2770 per US dollar on Monday, near the stronger end of its managed trading range.
The one-year non-deliverable dollar forward discount versus the yuan was at 1,250 points implying a rate of 8.153 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 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 was not immediately available. It reached a thin $520 million on Friday.
The yuan weakened to 7.4409 against 100 Japanese yen from 7.4027 on Friday, and softened against the euro to 9.9741 from 9.9699.

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