Yuan Extends Drop as PBOC’s Weak Fix Worsens Fragile Sentiment

  • Beijing set weaker-than-expected fixing rate on Wednesday
  • Markets losing patience on China support measures: analyst
WATCH: Alanysts predict more losses after the yuan tumbled to the weakest since November. Paul Dobson reports.Source: Bloomberg
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China’s yuan tumbled past the closely watched 7.2-per-dollar level and analysts are bracing for more losses after Beijing showed little resistance to the decline.

The offshore yuan fell as much as 0.3% to 7.2007 to the greenback on Wednesday, the weakest since November. A lack of aggressive stimulus from authorities is fueling a wave of selling in Chinese assets, with a gauge of the nation’s equities listed in Hong Kong heading for a third day of losses.