The yuan hit a 19-year high on Friday, after the People’s Bank of China raised the daily reference rate by 0.08 per cent to 6.2689 per dollar, according to Bloomberg.
The yuan is allowed to trade in a 1 per cent band with the U.S. dollar. Some argue that political factors have driven yuan appreciation now that Xi Jinping is making international visits as China’s new president.
Here’s a one month chart that shows one (onshore) yuan in dollar terms:
And here’s five-year chart: