China's Request to Banks: Reduce or Delay Dollar Purchases - Exclusive Sources

China's currency regulators have reportedly instructed some commercial banks to reduce or delay their purchases of U.S. dollars in an effort to slow the depreciation of the yuan. This informal guidance comes as China's economy struggles to recover from the pandemic and the U.S. dollar and other major currencies see rising yields. The People's Bank of China (PBOC) and the State Administration of Foreign Exchange (SAFE) have not yet commented on the matter. The yuan has hit an eight-month low and has lost 3.6% against the dollar this year. China's authorities have pledged to let market factors determine the yuan's movements, but concerns about currency stability have been expressed.