The Strategist

People's Bank of China calls currency market stabilization its top priority

09/29/2022 - 10:35

According to Reuters, the People's Bank of China reiterated a previous claim that the yuan has a strong basis to maintain stability, and stated that stabilizing the currency market is its top goal.

Dave Steadman
Dave Steadman
The central bank's remarks came after the yuan dropped to its lowest level since the 2008 global financial crisis.

While claiming that the currency market was largely operating in an orderly manner, the People's Bank of China issued a warning against extensive unilateral transactions against the yuan.

Additionally, it urged participants in China's network of currency market self-regulation to prevent significant changes in the country's unit of currency.

The central bank also said that in order to stop speculative trading, relevant agencies should improve expectation management.