The yuan ended flat against the dollar on Thursday, locking in a 1.94 percent gain for the first half of the year, a relatively slow pace of appreciation that traders expect to quicken in the second half. The yuan closed at 6.4640 on Thursday, a rise of just 0.2 percent for the month of June following a similar pace of gain in May and compared with a 0.9 percent rise it marked in April.
Spot yuan traded between 6.4629 and 6.4680 versus the dollar, above the daily mid-point and little changed from Wednesday's close of 6.4635. Before trade began the PBOC set the yuan's mid-point at 6.4716 versus the dollar, only two pips stronger than Tuesday's 6.4718. Benchmark one-year dollar/yuan non-deliverable forwards (NDFs) were bid at 6.3840 in late trade, unchanged from the previous day's close. Their implied yuan appreciation in a year's time was at 1.37 percent.