Amidst concerns about a weakening Chinese economy, the PBoC Governor Yi Gang said in an interview on June 7, that no hard limit existed for the dollar exchange rate, indicating that the tightly controlled onshore renminbi could drop further against the US Dollar. The onshore version of the Chinese currency can currently trade only 2 per cent in either direction of a daily midpoint set by the central bank. The statement comes days before the G20 meeting in Osaka set for June 28 and 29, where US president Donald Trump and Chinese leader Xi Jinping will meet. 

(Comment: While a weaker renminbi could help boost the Chinese economy, it also poses risks such as heightening US-China tensions further.)