The Chinese yuan rose 169 points against the greenback on 29 January, with the reference rate hitting 6.3267 per US dollar.
According to domestic analysts the latest appreciation in the Renminbi has been driven by poor performance on the part of the US dollar, as well as market expectations of an improving Chinese currency.
The US Dollar Index recently fell through the 90 point threshold to tap a three year low, with analysts expecting American economic growth to fall short of expectations, as well as Japan and the Eurozone to post improving economic health.
Since the start of 2018 the Chinese yuan has breached the 6.50, 6.40 and 6.30 thresholds in rapid succession, rising a total of 1900 basis points for an increase of nearly 3%.
On 26 January alone the Chinese yuan’s reference rate rose by 288 basis points for the sixth consecutive day of increase, and a rise of 700 basis points within the space of just a week.