China lifts yuan midpoint to one-month high to reflect dollar weakness

China lifted yuan midpoint to a near one-month high against the dollar on Thursday to reflect broad greenback weakness in global markets following slower-than-expected U.S. inflation readings. The People's Bank of China set the midpoint rate at 6.7324 per dollar prior to market open, 288 pips or 0.43% firmer than the previous fix 6.7612, the strongest since July 14.

The dollar fell broadly following a cooler-than-expected U.S. inflation report for July that raised expectations of a less aggressive interest rate hike cycle than previously anticipated from the Federal Reserve.