Yuan drops following downbeat trade data
On Monday, the Yuan went down against the evergreen buck, dampened by bearish market sentiment after China reported its imports and exports dived more than expected in April, thus contributing to worries regarding the health of the number two economy.
The People’s Bank of China imposed the midpoint rate at about 6.5105 per dollar before market open, 0.15% stronger compared to the previous fix of 6.5202.
Spot Yuan started at 6.4960 a dollar, then waved widely as market participants decided to adjust their trading positions after worse than expected domestic economic data for the weekend.
China’s national currency weakened on downbeat market sentiment and only midday eased 0,21% from the previous close.
In April, Chinese exports dropped 1,8% compared to the previous year, according to the report issued on Sunday. The report reversed the previous month’s concise surge, while imports fell 10.9% compared to the previous year, dropping for the 18th moth.
According the country’s major bank, in April China’s foreign exchange reserves surged to $3.22 trillion.