China's State Banks Act to Stabilize Offshore Yuan Amid Currency Weakness

China's major state-owned banks are reportedly actively buying up offshore yuan in an effort to stabilize the currency, which has been facing pressure due to a darkening economic outlook and strain in the property sector. By tightening offshore yuan liquidity, the banks aim to raise the cost of shorting the Chinese yuan and potentially stabilize its value. The move comes as the yuan has weakened over 5% against the US dollar this year. The offshore yuan rallied following the state bank's actions.