CHINESE YUAN OVERTAKES MEXICAN PESO TO BECOME THE MOST TRADED EMERGING MARKET CURRENCY IN THE WORLD- BIS.
CURRENCY SHARE RANK SHARE RANK SHARE RANK USD 84.9 1 87.0 1 87.6 1 EUR 39.1 2 33.4 2 31.3 2 JPY 19.0 3 23.1 3 21.6 3 GBP 12.9 4 11.8 4 12.8 4 AUD 7.6 5 8.6 5 6.9 5 CAD 5.3 7 4.6 7 5.1 6 CHF 6.3 6 5.2 6 4.8 7 CNY 0.9 17 2.2 9 4.0 8 SEK 2.2 9 1.8 11 2.2 9 MXN 1.3 14 2.5 8 2.2 10.
This came as investors reversed bets made against the greenback on speculation that the Fed would not hike interest rates anytime soon.
The dollar hovering near a two-week high against a basket of currencies with investors focused on the next set of U.S. data.
BEIJING, Aug 30- China's leading free trade zone faces currency risks and the authorities should be cautious in opening up the capital account, the Chinese Academy of Social Sciences, a top government think tank, said on Tuesday. China set up the Shanghai free trade zone in September 2013 as a venue to pilot economic reforms, in particular in the financial sector.
The dollar rose after senior Federal Reserve officials bolstered expectations that U.S. interest rates will rise soon.
Markets will be eyeing non-farm payrolls due Friday as the data will have an impact on Fed expectations, says National Australia Bank's Christy Tan.
The dollar inched up on Friday as investors digested a speech from Federal Reserve Chair Janet Yellen.
SHANGHAI, Aug 26- China's yuan weakened marginally Friday as the dollar traded sideways, with mainland currency traders awaiting an important speech by U.S. Federal Reserve Chair Janet Yellen later today. The People's Bank of China set the midpoint rate at 6.6488 per dollar prior to market open, firmer than the previous fix 6.6602.
The dollar was range-bound in illiquid Asian trade as currencies tread water ahead of the global central bankers' gathering in Jackson Hole.
The yuan's moves have become far less worrisome for markets even though it may take a while for investors to become more confident in China.
Investors focused on a gathering of central bankers for clues on when the U.S. Federal Reserve will hike interest rates again.
There are certain Chinese sectors that are seeing a concentration of inflows, notes BNP Paribas Investment Partners' Arthur Kwong.
Investors shifted their focus away from hawkish remarks on interest rates by Fed officials and towards Friday's Jackson Hole meeting.
The dollar rose after comments from Fed Vice Chairman Stanley Fischer prompted bets on an interest rate hike.
Foreigners may be avoiding China's stock market in droves, but it offers opportunities, said Julius Baer's head of research for Asia, Mark Matthews.
China plans to open its Shenzhen stock market for foreign investors, but it wasn't clear it would see more traffic than Shanghai's lackluster one.
The dollar was weighed down by investors' lack of belief in the chances of a rise in U.S. interest rates this year.
The dollar fell to a seven-week low against a basket of major currencies on Thursday.
Moody's Investors Service raised its forecasts for China's economic growth in the wake of "significant" fiscal and monetary stimulus policies.