PBOC maintains the normal movement of the renminbi

Chinese regulator
strengthened its "verbal" support the yuan
and says it will intervene if the market
It will be very "twisted". National currency these days has shown the worst loss in two decades.

There is no reason to be stubborn devaluation, he said
Deputy Governor of the People
Bank of China Zhang Ksiuy at a briefing in
Beijing. On Tuesday, the PBOC
It has redefined the daily rate
appreciation of the yuan and the "basically the process already
completed", - said Deputy Governor
Yi Gang, adding that China respects
market, but he also allows the government to play
a role. "Believe the market, respect
market, afraid of the market and to follow
market"- says the vice-governor,
who is also responsible for the administration of
foreign currency.

China's decision Tuesday
give more power to the markets in the definition of
the level of the national currency caused
unprecedented sales (this is not seen
the last 20 years) and it was thrilled
world markets. For a bet on Tuesday and Wednesday
reduced to 1.2% after the yuan
It fell by 1.6%, and then another 1.9%. yuan cut
losses and is trading at 6.4120 against the
dollar at 8:42 MSK (+ 0.39%).

PBOC
I decided to change after months
despite the strengthening of stability
US dollar and realizing that
China is losing competitiveness with
other Asian countries, dependent
from exports. Foreign exchange reserves of the country
It fell to $ 315 billion by July - to $ 3.65 trillion,
when the central bank kept
a stable exchange rate.

When the People's Bank
China decided to apply a new methodology
Tuesday to determine the average
level markets a little surprised - no one
I did not expect this. Now, market participants,
which form the price should be taken into account
previous day's closing exchange
supply and demand, as well as changes
major currency rates. new mechanism
beneficial to the long-term stability,
said Yi Gang. Managed floating
exchange rate regime suitable to China and
the central bank, as the market "twisted".

Current exchange rate
Course meets the economic
Principles sure Yee. flexible exchange
course will increase the opportunities for
the central bank to adjust
monetary policy. "Now
ample liquidity and interest
the market rate is more or less stable".
- he said.

Strengthening of ruble creates

Strengthening of the ruble creates conditions to reduce the key rate CBR? Bloomberg The ruble rose to its highest level in three months against the...

Ruble fell in anticipation of

The ruble fell in anticipation of the Central Bank meeting and amid weak activity Exporters This afternoon, the Russian Ruble reduced trades the currency...

In developing markets new headache

In developing markets , a new headache: cheaper commodities In emerging markets for today time was more than enough problems. Suffice it to mention at...