RMB Fix Weakens 9 Pips To 6.7804 As Spot Rate Edges Higher

The yuan's midpoint against the U.S. dollar was set at 6.7804 on Friday, down 9 pips from the previous trading day and falling for a second straight session. The onshore yuan opened 1 pip higher at 6.7105, compared with the previous close of 6.7106, according to ETNet. China Merchants Bank's financial markets team said easing external dollar pressure, together with still-supportive export and settlement demand at home, should help the yuan continue to move in a steady-to-firmer direction. CICC said recent dollar moves have turned more volatile and the pace of midpoint appreciation has slowed, but if the dollar weakens more sharply, the yuan's appreciation momentum could strengthen and the midpoint may rise faster to ease appreciation pressure. It added that if the dollar remains range-bound in the near term, the yuan is likely to stay mildly firm.