SHANGHAI/BEIJING (Reuters) – China’s foreign exchange regulator phoned several banks on Wednesday to warn them against aggressively selling the Chinese currency, sources with direct knowledge of the matter said.
The Chinese yuan has been dropping against the dollar and market participants said the telephone warnings suggested authorities may be getting uncomfortable with the speed of the slide.
Responding to a Reuters request for comment, the State Administration of the Foreign Exchange (SAFE) said it had not seen financial institutions unreasonably buying large amounts of foreign exchange.
(Reporting by the Shanghai and Beijing Newsroom; Editing by Toby Chopra)
