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Yuan closes week lower
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The yuan closed lower against the US dollar after falling by its maximum daily trading limit for two days last week.

The yuan finished at 6.8482 against the US dollar last Friday, under the China Foreign Exchange Trade System. The Chinese currency ended at 6.8349 on the last trading day of the previous week.

There has been speculation that China is allowing the yuan to depreciate to help its exporters, which are facing lower demand from overseas markets, overcome a global economic downturn. Commerce Minister Chen Deming said last Thursday he expected the yuan to be stable in the absence of any other major disruptions in the global financial system.

United States officials expressed hopes at the fifth Sino-US Strategic Economic Dialogue, which ended on Friday, that China would continue its currency reform and allow the yuan to appreciate.

The yuan has appreciated by about 20 percent against the greenback since it was de-pegged from the US currency in 2005.

(Shanghai Daily December 8, 2008)

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