The U.S. dollar was little changed on Wednesday morning in Asian trade as trade concerns eased somewhat. The People’s Bank of China (PBOC) sets the weakest yuan mid-point rate today since December 25, 2017, a move seen as China’s way of absorbing the shocks of the ongoing U.S.- China trade spat.
The U.S. dollar index that tracks the greenback against six major currencies stood at 94.30 on Wednesday at 11:54PM ET (03:54GMT), down 0.01%. The index fell to a low point of 93.94 on Monday over worries of escalating trade tensions between the U.S. and its trade partners, but a modest easing in concerns slightly revived risk appetite.
U.S. President Donald Trump suggested during a meeting with lawmakers that his administration may switch to foreign investment reviews under the Committee on Foreign Investment in the United States instead of imposing new limits on Chinese investment in U.S. technology.
The PBOC set the yuan reference rate at 6.5569 – the weakest fix since last December- versus Tuesday’s 6.5180.
