China's yuan set at 7.0012 against USD Friday, April 11, 2008

China's currency, the yuan, was set to trade at 7.0012 yuan against the U.S. dollar on Friday, one day after it appreciated beyond 7.0 to the dollar for the first time.

The reference rate of the yuan was set at 11.0353 against the euro, 0.068710 against the Japanese yen, 0.89906 against the Hong Kong dollar and 13.8288 against the the British pound.

The dollar fell to a record low versus the 15-nation euro on Thursday morning but regained ground after the European Central Bank agreed to keep its key interest rate unchanged. It was also encouraged by a larger-than-expected weekly drop in unemployment claims in the United States.

The yuan has gained 4.47 percent this year based on Thursday's trading price at 6.992, or 18.27 percent from 8.2765 yuan against the dollar before the new currency regime was imposed.

China ended the yuan's peg to the dollar in July 2005, and since then the yuan's reference rate has been set against a currency basket that also includes the euro, yen and won. The yuan is allowed to float by up to 0.5 percent daily against the dollar either side of the central parity rate.  

Editor: An Lu
Source: Xinhua