The Chinese yuan fell slightly against the U.S. dollar Monday after Chinese officials rejected calls from Beijing's trading partners for faster currency reforms during weekend G-7 meetings in Washington.
At midday, the yuan was trading at 8.0916 per U.S. dollar, down from its Friday close of 8.0910. Traders said the dollar gained as market participants interpreted the pressure from the Group of Seven industrialized nations as not particularly intense.
Chinese authorities also strongly suggested Monday that the narrow trading band governing the U.S. dollar-yuan exchange rates’ daily movement would remain, despite a move Friday to loosen controls on other currency rates.
Many of China's trading partners believe the yuan is undervalued, giving it an unfair trade advantage, and would like to see it appreciate, informs the AP