Yuan Hits Strongest in Over a Year as Flows Offset Fundamentals
- Currency gains as exporters repatriate dollar holdings
- Unwind of short-yuan carry trade also adds fuel to rally
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The Chinese currency extended a recent advance to levels unseen in more than a year, as traders mulled signs of corporate buying amid broad dollar weakness.
The offshore yuan gained 0.3% to 7.0752 per dollar, its strongest since June 2023. The currency has surged around 2% in August to erase its losses for the year and is now up about 0.7% in 2024 against the faltering greenback.