Report on Yuan Briefly Roils Currency Markets
China’s central bank said Wednesday that it had no new information on the exchange rate for the Chinese yuan after a report on the website of a Communist Party newspaper fueled speculation that a revaluation would happen soon.
Major currencies were roiled briefly, with the Japanese yen soaring against the dollar, the euro and the British pound.
The report -- a translation of an article published in Hong Kong on May 7 -- was later removed from the People’s Daily website.
Expectations for the yuan’s future value surged briefly to record levels in the market for currency forward contracts, a barometer of expectations that does not affect the currency’s current value.
A spokesman for the People’s Bank of China, the central bank, said the report did not originate from the bank.
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