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InstaForex Loprais Team - Official participant of the Dakar rally

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InstaForex Loprais Team - Official participant of the Dakar rally

2020.02.2007:23:00UTC+00Chinese Yuan Slides To More Than 2-month Low Against U.S. Dollar

The Chinese yuan declined against the U.S. dollar in the Asian session on Thursday, as China reduced interest rates to prevent the adverse impact of the coronavirus outbreak.

On Thursday, China cut the one-year loan prime rate or LPR by 10 basis points in order to lower financing costs for businesses. The five-year rate was reduced to 4.75 percent from 4.8 percent.

The yuan fell to 7.0256 against the greenback, its lowest level since December 12. The next possible support for the yuan is seen around the 7.2 level.

The People's Bank of China set today's central parity rate of the yuan at 7.0026 per dollar, compared to Wednesday's rate of 7.0012. The Chinese central bank sets central parity rate every morning and allows the yuan to fluctuate up to 2 percent from that level.

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