Yuan Nearing PBOC Rate Spurs Band Speculation: Chart
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The yuan is converging with the central bank’s reference rate at a record pace, a sign to ING Groep NV that China may be planning to widen the currency’s daily trading band.
The CHART OF THE DAY shows the gap has narrowed to 0.6 percent in Shanghai, having been on the cusp of its 2 percent limit at the start of the month. The People’s Bank of China doubled the yuan’s trading range a year ago after the difference narrowed to less than 0.3 percent from a January 2014 average of