Yuan Falls as Central Bank Halts Five Days of Stronger Fixings
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The yuan fell the most in almost two weeks as the People’s Bank of China halted five days of strengthening the currency’s fixing amid speculation the Federal Reserve will taper its bond-buying program.
The central bank set the yuan’s reference rate 0.09 percent weaker at 6.1651 per dollar, lowering it by the most since May 13. The Bloomberg-JPMorgan Asian Dollar Index dropped for a second day before the Fed starts a two-day meeting. Currency strategists from Barclays Plc to Deutsche Bank AG are advising investors to sell the yuan, the best-performing emerging-market currency in the past six months, as growth slows in the world’s second-largest economy and inflows wane.