More on PBOC setting the CNY at its weakest for 6 years

China is back from a week of holidays, the People's Bank of China setting the USD/CNY to show the weakest yuan in 6 years:

• PBOC sets USD/CNY mid-point today at 6.7008
• USD/CNY 'fix' above 6.7 (yuan weakest in 6 years)

Bloomberg have more:

• "This sends the signal that the yuan's future path may be more event-driven, meaning China will allow it to drift lower when there is a big event on the dollar as we saw last week," said Tommy Xie, an economist at Oversea-Chinese Banking Corp. in Singapore. "Today's spot will be very important and the market will closely watch whether the yuan will close above 6.7 or not."