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Exclusive: China's central bank asks state lenders to reduce dollar purchases, sources say - REUTERS
Summary
- PBOC asks state banks to reduce dollar purchases, sources say
- Yuan faces pressure from U.S. tariffs, PBOC aims for stability
- Analysts warn sharp yuan depreciation risks financial stability
April 9 (Reuters) - China's central bank will not allow sharp yuan declines and has asked major state-owned banks to reduce U.S. dollar purchases, people with direct knowledge of the matter said on Wednesday.
The directive from authorities comes as the yuan faces heavy downward pressure following massive U.S. tariffs on Chinese exports and retaliatory moves by Beijing.
