Chinese Yuan Hits 5-week High

The Chinese Yuan touched 6.83 against the USD, the highest since March 2023. Over the past 4 weeks, US Dollar Chinese Yuan lost 0.9%, and in the last 12 months, it decreased 7.1%.

The offshore yuan strengthened to around 6.82 per dollar on Wednesday, continuing its upward momentum for a fourth consecutive session and reaching its highest level since March 2023, primarily driven by a pressured greenback following a ceasefire announcement. President Donald Trump revealed that the US and Iran had reached a two-week ceasefire agreement, narrowly averting what the president had previously warned could escalate into an attack with catastrophic consequences for the region. Shortly after the announcement, Iranian Foreign Minister Seyed Abbas Araghchi stated that access to the Strait of Hormuz would be possible through coordination with Iran’s Armed Forces. Domestically, investors are turning their attention to China’s upcoming inflation data, due later this week. Analysts expect a slight uptick in annual consumer prices, while producer prices are projected to see its first annual rise since September 2022.

The Chinese Yuan touched 6.86 against the USD, the highest since February 2026. Over the past 4 weeks, US Dollar Chinese Yuan lost 0.4%, and in the last 12 months, it decreased 7.6%.