Another devaluation day from PBoC but panic subsides

Three consecutive daily devaluation from PBoC, marks major shift in Chinese Yuan, which for quite some time has remained one way ride up against Dollar.

After 1.9% devaluation via fix on Tuesday, 1.6% on Wednesday, PBoC devalued Yuan fix by another 1.1% today. However panic seems to subside, as Chinese Yuan failed to break into lower today. Offshore Yuan is currently trading at 6.457, up 0.08% against lower and much higher than yesterday's low around 6.6.

With overall panic subsiding as PBoC in a rare press conference, shrugged off any possibilities of further major devaluation of Yuan, shrugging of fear of 10% devaluation, as suggested by many analysts.

Asian currencies which were down over China's move reversed recent loss.

• Korean Won, which had fallen to as low as 1196 against Dollar, currently trading at 1173.
• Singapore Dollar which traded as low as 1.426 against USD, reversed and currently trading at 1.397.
• Similarly Taiwan Dollar reversed from its recent low of 32.6 against USD to trade at 32.1 as of now.

Indian Rupee however fell today further by 0.31%, trading at 65.07 against Dollar.