2 Attachment(s) The PBOC's initiatives to enhance self-confidence with fixings have not been bearing fruit, stated Andy Ji, Singapore-based currency strategist at Commonwealth Bank of Australia. The sign is not being bought by the market and is pessimistic.

While the yuan is hardly altered from the dollar this year, a steadiness perhaps not observed since the August 2015 devaluation, the same can not be stated about its moves versus the others. Partly thanks to your depreciating dollar, the yuan has fallen against 14 of its 17 key friends this year, including declines of at least 6% against the euro, the South Korean won along with the Taiwan dollar.

Outflows also appear to be picking up, with mainland lenders nearly doubling the net sum of foreign currency they sold to customers last month, amid increasing bets the U.S. will boost borrowing charges the following month month. Analysts project the yuan will drop by 2.3% to 7.05 per dollar by the end of the year, according to information compiled by Bloomberg.

Depreciation strain is also being felt in the derivatives market, with all the extra-cost for alternatives to sell the currency from the dollar versus the contracts to buy surging to 1.04% on Monday, the highest level since March 1-3.

— With help by Emma Dai, and Tian Chen