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China's yuan rose to its strongest level in nearly 16 months on Friday on bets that Beijing will unveil fresh economic stimulus following a jumbo U.S. rate cut, though gains were capped by dollar buying from Chinese state banks.
China on Monday lowered its main benchmark lending rates by 25 basis points at the monthly fixing.
As Chinese stocks get their groove back, markets are grappling anew with tension between President Xi Jinping’s long-term policy priorities and investors’ hunger for short-run stimulus.
China's manufacturing activity sank to a six-month low in August as factory gate prices tumbled and owners struggled for orders, an official survey showed on Saturday, pressuring policymakers to press on with plans to direct more stimulus to households.
China's economy in the first quarter grew faster than expected, official data released Tuesday by China's National Bureau of Statistics showed.