China's yuan rose against the dollar again on Tuesday, as investors remained bullish on the currency and corporate dollar sales helped offset a weaker midpoint fix by the central bank. The People's Bank of China (PBOC) set the midpoint rate at 6.1663 per dollar prior to market open, down 0.02 percent from the previous fix.
The relatively weak midpoint is in line with global resurgence of the dollar of late, traders said. The spot rate is currently allowed to trade 2 percent above or below the midpoint. The spot market opened at 6.1540 per dollar, and was changing hands at 6.1520 by midday, up 0.05 percent from the previous close. The yuan also rose on Monday. Sentiment towards it has strengthened since May, when China began posting strong trade surpluses that boost dollar supply in the market, traders said.