Offshore Yuan Hovers Near 1-Week Low
2026-07-20 02:23
By
Czyrill Jean Coloma
1 min. read
The offshore yuan hovered around 6.77 per dollar on Monday, remaining near a one-week low as investors weighed escalating tensions in the Middle East and the People's Bank of China's decision to leave key lending rates unchanged.
Sentiment remained fragile after the US launched fresh airstrikes against Iran over the weekend, while Tehran declared its ceasefire with Washington no longer in effect.
On the monetary policy front, the People's Bank of China left its key lending rates unchanged at record lows for a 14th consecutive month in July, with the one-year loan prime rate (LPR) held at 3.0% and the five-year LPR at 3.5%.
The decision came despite softer-than-expected second-quarter economic data that underscored the uneven nature of China's recovery, as robust manufacturing output and exports continued to provide support while sluggish consumer spending weighed on growth.
Attention is now focused on the upcoming Politburo meeting later this month for signals on stimulus measures.