The People’s Bank of China (PBOC), China’s central bank, is responsible for setting the daily midpoint of the yuan (also known as renminbi or RMB). The PBOC follows a managed floating exchange rate system that allows the value of the yuan to fluctuate within a certain range, called a “band,” around a central reference rate, or “midpoint.” It’s currently at +/- 2%.

The previous close for the pair was 7.1045.

PBOC injects 302.1bn yuan at 1.40% via 7-day reverse repos:

• after maturities today the PBOC has net drained 105.4bn yuan