China’s yuan looks set for biggest annual loss since 1994, down 8.6%

SHANGHAI – China’s yuan finished the domestic session at a two-week high against the dollar on Friday, but still looked set for the worst annual performance in 28 years.

The onshore yuan finished the domestic trading session at 6.9514 per dollar, the strongest such close since Dec. 14.t

If it finishes the late night session at the domestic closing level, it would have lost 8.6 percent against the dollar for the year, recording the biggest annual drop since 1994 when China unified market and official rates.

A buoyant dollar in light of Federal Reserve tightening and a COVID-induced domestic economic slowdown were among the major factors pressuring the Chinese currency this year.