BEIJING (MNI) – The People’s Bank of China’s foreign-exchange (forex) purchase position rose in April for a fourth straight month, reflecting a relatively balanced flow of supply and demand, according to data released by the central bank.
The PBOC’s forex purchase position on April 30 rose by CNY7.422 billion m/m to CNY21.503 trillion, according to a statement posted on the PBOC website Thursday – a level similar with March’s CNY7.838 billion increase, the data showed.
The value of PBOC’s forex reserves fell by USD17.97 billion in April from the previous month due to value effects, PBOC said separately on May 7.
If the dollar index continues to go up, yuan will suffer from depreciation pressures. Whether the PBOC intervenes can be seen from forex purchase position, which is worth investors’ attention.
–MNI Beijing Bureau; +86 10 85325998; email: [email protected]
Source: MNI