A modest rise in China’s daily yuan midpoint on Friday put the official benchmark at 6.7168 per dollar, signaling a slight softening in the currency’s reference value.
The China Foreign Exchange Trade System (CFETS), authorized by the People’s Bank of China (PBOC), listed the USD/CNY central parity at 6.7168 for Nov. 6. CFETS’ rate table shows the figure was 0.0012 yuan above the Nov. 5 rate of 6.7156. The midpoint had fallen from 6.7180 on Nov. 4 before Friday’s increase. EconoTimes previously covered the Nov. 4 fixing.
Because the quote gives the number of yuan for one U.S. dollar, a higher reading assigns more yuan to each dollar and indicates a weaker yuan at the midpoint. The central parity serves as a reference for the trading session; the price of an individual spot transaction can differ from it.
CFETS’ daily calculation starts with market-maker submissions collected before trading. Those quotes take account of the previous interbank close, foreign-exchange supply and demand, and movements in major currencies. CFETS removes the highest and lowest submissions, then uses a weighted calculation on the remaining quotes to set the midpoint. Its rules allow onshore USD/CNY spot trading within 2% on either side of the central parity.
