Business
21:31, 30-Oct-2018
Chinese yuan hits decade low
Updated
21:05, 02-Nov-2018
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The Chinese yuan weakened to a decade low on Tuesday, but Beijing was expected to prevent it from breaking the psychologically important seven yuan per dollar barrier.
The yuan drifted past 6.96 to the dollar, hitting its weakest levels since May 2008.
China will continue to apply macro-prudent measures to stabilize expectations in the foreign exchange market, Pan Gongsheng, deputy governor of China's central bank and chief of the country's State Administration of Foreign Exchange, said last Friday.
Although Pan did not specify the level of stabilization, a front-page commentary in Economy Information Daily published on Tuesday said authorities were unlikely to let it hit the seven-yuan per dollar mark.
"China's balance of payments situation won't change in the short term. Current monetary officials have the strength and determination to stabilize the market. There also are enough policy tools to deal with changes in the situation," the commentary said.
(With inputs from AFP)