China's State Banks Sell Dollars to Support Yuan Amid Negative Moody's Outlook

Despite intervention, the yuan slips further, marking a year-to-date decline of 3.6%.

China's major state-owned banks have been selling U.S. dollars in the onshore spot foreign exchange market for a second day to support the yuan currency.
The yuan has come under renewed depreciation pressure after rating agency Moody's cut its outlook on China's government credit ratings to negative from stable.
Despite the state banks' actions, the yuan still slipped on Wednesday.
The yuan strengthened 2.55 per cent in November, its best month this year, but it is still down about 3.6 per cent year-to-date.
State banks in China usually trade on behalf of the country's central bank in the currency market, but they could also trade on their own behalf.