China's central bank officials have warned investors to not bet on the depreciation of the yuan, after the onshore yuan extended losses and hit its lowest level against the dollar since 2008.
"The foreign exchange market is of great importance, and maintaining stability is the first priority," said Liu Guoqiang, deputy governor of the People's Bank of China in a meeting Tuesday with the China Foreign Exchange Market Self-Regulated Body, a group of banks that helps oversee China's foreign-exchange market.
In the same meeting, the central bank asked banks to consciously maintain the stability of the foreign exchange market and curb swings in the exchange rate, according to a statement released Wednesday.
There is a small number of enterprises following the trend of ' foreign exchange speculation ' and some financial institutions have illegal operations, said Mr. Liu, adding that the government will " strengthen guidance and correction."
The offshore yuan weakened to more than 7.2 to the dollar Wednesday amid recent attempts by the country's central bank to support the yuan.
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(END) Dow Jones Newswires
09-28-22 0702ET
