Chart Of The Day: Don’t Fight The PBoC. K. Thx. Bye.

As you're aware, some folks are talking about the yuan again. And that's because last week, in the wake of the Moody's downgrade, the PBoC decided to put the onus back on the fix. That is, it looks like China is going to start using the fix to control the spot again as opposed to the system they've (supposedly) been using since the August, 2015 deval after which they would effectively control the spot (i.e. burn FX reserves) to dictate the next day's fix. You can read more in these posts: “