BEIJING, June 15 (Xinhua) -- The central parity rate of the Chinese currency renminbi, or the yuan, strengthened 77 pips to 7.1489 against the U.S. dollar Thursday, according to the China Foreign Exchange Trade System.
The reading came amid a series of moves by the People's Bank of China (PBOC), China's central bank, to strengthen counter-cyclical adjustment and shore up market expectations.
The PBOC cut the interest rate of a one-year medium-term lending facility (MLF) from 2.75 percent to 2.65 percent on Thursday.
Earlier this week, the PBOC lowered the seven-day reverse repo rate from 2 percent to 1.9 percent, and announced a cut on the interest rates of its standing lending facility, with the overnight rate down by 10 basis points to 2.75 percent.
Market analysts say that the monetary moves are expected to shore up economic growth, boost market confidence and stabilize the RMB exchange rate in the long run.
In China's spot foreign exchange market, the yuan is allowed to rise or fall by 2 percent from the central parity rate each trading day.
The central parity rate of the yuan against the U.S. dollar is based on a weighted average of prices offered by market makers before the opening of the interbank market each business day. ■
