Source: https://news.bitcoin.com/china-asks-banks-to-curb-dollar-purchases-as-yuan-hits-multi-year-low/

In response to the ongoing trade tensions and tariff war with the United States, China is taking steps to stabilize its currency, the yuan. According to a report by Reuters, Chinese authorities have informally instructed state-owned banks to refrain from purchasing US dollars. This move aims to prevent further depreciation of the yuan amidst the escalating trade dispute between the two economic giants.

China's efforts to control the value of its currency come as the country faces increased pressure from the trade war, which has led to uncertainty in global markets. By limiting dollar purchases, Chinese authorities hope to mitigate the impact of the trade conflict on the yuan and maintain stability in the foreign exchange market.

In addition to restricting state banks from buying US dollars, Chinese financial institutions are also expected to enhance their