Dollar gains after China's yuan move

08:43, June 22, 2010      

Email | Print | Subscribe | Comments | Forum 

The dollar gained against a basket of major currencies on Monday after China's decision to allow its currency to be more flexible boosted market's optimism in recovery.

The People's Bank of China (PBOC), also known as the central bank, said Saturday that it decided to proceed even further with the reform of the Renminbi exchange rate to add flexibility to the RMB exchange rate.

Analysts believe that the above decision should boost purchasing power and demand in the Chinese domestic market. It should also benefit those global companies that sell to China and underpin commodity-tied currencies such as the Australian dollar.

The dollar didn't decline as investors recognized that the yuan move will be gradual. The PBOC said Sunday it will not conduct a one-off revaluation of the RMB exchange rate.

In late New York trading, the euro dipped to 1.2324 dollars from 1.2364 dollars late Friday, and the British pound edged lower to 1.4762 dollars from 1.4799 dollars.

In other trading, the dollar rose to 90.99 Japanese yen from 90. 73 yen, rallied to 1.1114 Swiss francs from 1.1098 francs, and edged up to 1.0231 Canadian dollars from 1.0222 Canadian dollars late Friday.

Source:Xinhua

(Editor:黄蓓蓓)

  • Do you have anything to say?

双语词典
dictionary

  
Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • A Jew from Port Harcourt of Nigeria blows a shofar at the Western Wall Plaza in Jerusalem's Old City on Sept. 28, 2011, ahead of Rosh Hashanah, the two-day Jewish new year which will begin at sunset on Sept. 28 and conclude at nightfall on Sept. 30. (Xinhua/Yin Dongxun)
  • A Jewish worshipper prays at the Western Wall, Judaism's holiest prayer site, in Jerusalem's Old City on Sept. 28, 2011, ahead of Rosh Hashanah, the two-day Jewish new year which will begin at sunset on Sept. 28 and conclude at nightfall on Sept. 30. (Xinhua/Muammar Awad)
  • A Jewish worshipper prays at the Western Wall, Judaism's holiest prayer site, in Jerusalem's Old City on Sept. 28, 2011, ahead of Rosh Hashanah, the two-day Jewish new year which will begin at sunset on Sept. 28 and conclude at nightfall on Sept. 30. (Xinhua/Muammar Awad)
  • High school student Johanna Choapa is helped by her father after announcing the end of hunger strike in Santiago, capital of Chile, on Sept. 28, 2011. The end of the strike took place to make way for a dialogue with the government, seeking to resolve the four-month crisis in the education sector. (Xinhua/Jorge Villegas)
  • Passengers wait for help after a coach skidded of an icy road in Xinghai county, Northwest China's Ningxia Hui autonomous region, Sept 28, 2011. The accident occurred at an altitude of 4,400 meters Wednesday morning and has trapped 41 passengers in the snow covered area. The coach was travelling from Xining city to Yushu county in Qinghai. (Photo/Xinhua)
  • A doctor takes blood sample of a girl for the dengue virus test at a hospital in east Pakistan's Lahore on Sept. 28, 2011. The death toll as a result of Pakistan's dengue fever outbreak continues to rise at alarming rates as at least 108 people have now been confirmed dead. The total number of people who have contracted the virus is reported to be at least 10,585 in Punjab, with 9,000 reported from Lahore. (Xinhua Photo/Sajjad)
Hot Forum Discussion