(Bloomberg) -- China’s central bank set its daily yuan reference rate at a stronger than expected level after trade tensions with the U.S. intensified over the weekend.
The People’s Bank of China set the currency’s fixing at 7.0570 per dollar, stronger than the average estimate of 7.0628 by 21 analysts and traders surveyed by Bloomberg. Forecasts ranged from 7.0487 to 7.0806. The fixing restricts the onshore yuan’s moves by 2% in either direction.
The offshore yuan pared declines on Monday, falling 0.37% to 7.158 per dollar as of 9:18 a.m. in Hong Kong. It declined as much as 0.86% earlier to 7.1926 per dollar, the lowest level since it was created in 2010.
President Donald Trump announced additional levies on Chinese imports and called for American companies to pull out of Asia’s largest economy after China said it would impose retaliatory tariffs on U.S. goods.
©2019 Bloomberg L.P.
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