PBOC Yuan Positions Drop to Lowest Since 2011: Chart

(Bloomberg) -- The Chinese central bank’s yuan positions -- which reflect the amount of foreign currency held on its balance sheet -- fell to the lowest since 2011 in August, a sign that it sold dollars to support the yuan. The People’s Bank of China has been seen intervening in the market to stem the currency’s slide, with Bank of East Asia Ltd. and Natixis SA saying that policy makers will prevent the exchange rate from slipping past 6.7 per dollar before its admission into the International Monetary Fund’s basket of reserves on Oct. 1.

(Corrects label of yuan axis)

--With assistance from Helen Sun To contact Bloomberg News staff for this story: Tian Chen in Beijing at tchen259@bloomberg.net. To contact the editors responsible for this story: Richard Frost at rfrost4@bloomberg.net, Robin Ganguly