Yuan hovers near four-year high as investors eye US midterm elections - The

The offshore yuan also gained around 0.01% to 6.6529 per dollar.Read more: Global Market Today: Asian shares bend under AI stress; Apple earnings loomBefore the market opened, the People's Bank of China (PBOC) set the yuan's midpoint rate at 6.7146 per dollar, 521 pips weaker than the Reuters estimate of 6.6625. The onshore currency is permitted to trade within a 2% band on either side of the daily fixing.The central bank has continued to strengthen its daily guidance for the yuan this year, although the fixings have generally remained weaker than market expectations.

This suggests authorities are seeking to manage the pace of the currency's appreciation, Reuters reported, citing traders and analysts.Read more: Wall Street drops to its worst day since June after the sell-off for tech stocks deepensANZ analysts said the yuan's appreciation trend remained intact despite the broader global market environment. They also noted that Chinese authorities were setting stronger daily fixings without actively resisting the currency's strengthening trend.With China scheduled to host the APEC Economic Leaders' Meeting later this month, the analysts expect the yuan's appreciation to continue.Meanwhile, domestic investors are awaiting possible policy measures from Beijing to support the equity market after Chinese blue-chip stocks recorded their worst monthly performance in more than a decade in October.Separately, the PBOC injected liquidity into the banking system on Monday as it formally shifted its main policy rate to an overnight lending rate.

Analysts said the move could ease funding conditions and provide support to economic activity.In global currency markets, the US dollar and other major currencies traded in a narrow range as investors awaited the outcome of this week's US midterm elections. The polls could alter the balance of power in Congress and influence control over federal spending, adding to uncertainty across global financial markets.(Disclaimer: This article is based on inputs from agencies. These do not represent the views of The Economic Times.)