Offshore yuan sinks to 5-year low as China central bank lowers fixing point for 7th day

The yuan sank to a five-year low in offshore trading on after China's central bank lowered its reference rate for seventh day in a row.
The yuan sank to a five-year low in offshore trading on after China's central bank lowered its reference rate for seventh day in a row.PHOTO: REUTERS

HONG KONG (BLOOMBERG) - The yuan sank to a five-year low in offshore trading on Wednesday (Jan 6) after China's central bank lowered its reference rate for the seventh day in a row.

The currency fell 0.25 per cent to 6.6612 per US dollar as of 9.41am in Hong Kong's freely traded market, reversing initial gains, after the People's Bank of China cut its daily fixing by 0.22 per cent to the weakest level since April 2011. That is 1.9 per cent weaker than the onshore exchange rate, which declined 0.26 per cent to 6.5330.