The Chinese yuan fell against the world's reserve currency on Tuesday after the central bank of the Asian nation established a weaker exchange rate for the third-straight day, according to Reuters.
The renminbi is likely to continue its downward dip against the U.S. dollar, traders told the news source, also stating the People's Bank of China is poised to permit that gradual decrease. The Wall Street Journal reports the yuan dropped to its lowest value in more than one year against its peer.
"We expect the prevailing easing in monetary policy to continue until China's economic data improves," states a Tuesday note authored by Asia FX strategist Irene Cheung with ANZ in Singapore, according to The Wall Street Journal. "We do not think it is time yet to turn constructive on the RMB."
The yuan edged down about 0.11 percent against the greenback from the value of the monetary unit on Monday.
Thus far this year, the renminbi has slipped about 0.3 percent against the greenback, according to The Wall Street Journal. The yuan's performance has drawn questions from officials with the U.S. Treasury Department.
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