FILE PHOTO: A man sits in front of the headquarters of the People’s Bank of China (PBOC), the central bank, in Beijing, China October 17, 2013. REUTERS/Kim Kyung-Hoon/File Photo
BEIJING (Reuters) – China’s yuan CNY=CFXS is at an appropriate level currently and its fluctuations will not necessarily cause disorderly capital flows, a senior official at the People’s Bank of China told Reuters on Tuesday.
China is able to “navigate all scenarios” arising from Washington’s recent move to label Beijing a currency manipulator, Zhu Jun, head of the central bank’s international department, said in a text interview with Reuters.
She said China was “shocked” by the U.S. Treasury Department’s move last week to label China a currency manipulator, hours after China let the yuan drop through a key support level to its lowest point in more than a decade.
China is confident that the yuan will be a “strong currency” over the medium and long term, Zhu said.
Reporting by Kevin Yao and Ryan Woo; Editing by Sam Holmes