China's currency Renminbi, or the yuan, weakened 115 basis points to 6.3598 against the U.S. dollar on Wednesday, according to the China Foreign Exchange Trading system.
This came after the U.S. Senate passed a bill to press China to allow its currency to rise further.
The yuan hit a record high of 6.3483 against the U.S. dollar on Tuesday.
The currency has appreciated by more than 30 percent against the U.S. dollar since July 2005 when the country scrapped the yuan's peg to the U.S. dollar and adopted a managed float currency system, data shows.
China has long pledged to allow its currency to fluctuate more freely and to increase the yuan's flexibility.
Chinese leaders have said on many occasions that the country will continue to reform its exchange rate policy in a gradual and controlled manner while maintaining the currency's basic stability.
In China's foreign exchange spot market, the yuan is allowed to rise or fall by 0.5 percent from the central parity rate each trading day.
The central parity rate of the yuan against the U.S. dollar is based on a weighted average of prices before the opening of the market each business day.
This came after the U.S. Senate passed a bill to press China to allow its currency to rise further.
The yuan hit a record high of 6.3483 against the U.S. dollar on Tuesday.
The currency has appreciated by more than 30 percent against the U.S. dollar since July 2005 when the country scrapped the yuan's peg to the U.S. dollar and adopted a managed float currency system, data shows.
China has long pledged to allow its currency to fluctuate more freely and to increase the yuan's flexibility.
Chinese leaders have said on many occasions that the country will continue to reform its exchange rate policy in a gradual and controlled manner while maintaining the currency's basic stability.
In China's foreign exchange spot market, the yuan is allowed to rise or fall by 0.5 percent from the central parity rate each trading day.
The central parity rate of the yuan against the U.S. dollar is based on a weighted average of prices before the opening of the market each business day.
