Briefing on the yuan by PBOC's Yi Gang: Yuan could return to appreciation in future

FXStreet (Bali) - People's Bank of China Deputy Governor Yi Gang continues to brief the press on the yuan situation.

Key headlines - via Reuters

China's ample FX reserves, trade surplus, sound fiscal position and financial system to provide "strong support" for yuan

Says will prevent risks from abnormal cross-border capital flows

Says will conduct checks on banks' cross-border yuan and foreign currency businesses

Will further improve yuan pricing mechanism, ensure normal fluctuations in exchange rate
to promote unified onshore and offshore yuan exchange rate

Loose domestic monetary policy adds pressure on the yuan

Accumulated depreciation pressure of around 3% has been released through yuan decline

Yuan could return to appreciation in future

PBOC is able to keep yuan basically stable

Rigid yuan exchange rate not sustainable, not suitable for China

Yuan depreciation impact on Hong Kong limited, effect on yuan internationalization positive