Major state-owned banks have been spotted selling USD to buy yuan in both onshore and offshore spot • USD/CNY and USD/CNH. USD/CNH update: {chart} (full story)

China's major state-owned banks were seen selling U.S. dollars to buy yuan in both onshore and offshore spot markets in early Asian trade on Tuesday, three people with direct knowledge of the matter said, moves that would prop up the Chinese currency. The selling comes after China's top leaders pledged on Monday to step up policy support for the economy amid a tortuous post-COVID-19 recovery, focusing on boosting domestic demand, signalling more stimulus steps. Policymakers also said China will keep the yuan exchange rate basically stable at reasonable and balanced levels, and vowed to invigorate the capital market ... (full story)