Archive · 25 Dec 2025
China's Yuan Nears 7-Per-Dollar Mark
China's money, called the yuan, is getting stronger.
It's almost at 7 yuan for 1 U.S. dollar, which is the strongest it's been in a long time.
This is happening because companies in China are changing their U.S. dollars into yuan, and people think the U.S. dollar might get weaker.
The Chinese government is trying to keep the yuan from getting too strong too fast.
Experts think the yuan might keep getting stronger next year.
China's onshore yuan hit a 15-month high, nearing 7 per dollar.
The strengthening is driven by exporters converting dollar holdings and expectations of a weaker U.S. dollar.
The yuan has strengthened about 5% since early April 2024.
The People's Bank of China (PBOC) is taking steps to slow the yuan's rapid appreciation.
Analysts expect the yuan to continue strengthening next year due to anticipated U.S. monetary loosening.
- Who
- China's central bank (PBOC) and exporters
- What
- China's onshore yuan hitting a 15-month high, nearing 7 per dollar
- When
- Thursday, with expectations for further strengthening next year
- Where
- China
- Why
- Due to exporters converting dollar holdings, expectations of a weaker greenback, and improving economic conditions
- Current Exchange Rate
- 7.0061 per dollar (as of Thursday)
- Strongest Level Since
- Late September 2024
- Yuan Strengthening Since
- Early April 2024
- Total Strengthening
- Approximately 5%
- PBOC Guidance Rate
- 7.392 per dollar (Thursday's setting)
- Corporate Dollar Holdings
- Roughly $1.2 trillion