Despite the boost in sentiment, the new hours aren't likely to impact actual yuan demand since European traders still won't be able to participate.
"This new system essentially allows more of the status-quo. It doesn't change the fact that the CNY remains inaccessible to the bulk of foreign players excluding offshore central banks," pointed out Nizam Idris, Macquarie's head of strategy, fixed income and currencies.
"There might be more interest but the foreign market still trades the offshore yuan (CNH), which will remain the case going forward."
Domestic participants, the same ones who dominated trading during the old hours, will still be influencing the yuan and the prolonged trading hours may not faze them.
"There will be a very clear uplift in volume from existing traders, but whether that manifests in increased demand remains to be seen," noted Robert Rennie, global head of FX strategy at Westpac Bank.
Moreover, the PBOC will still base the currency's closing level on its rate at 4:30pm since officials expect the bulk of trade to happen during daytime.