The offshore yuan stabilized around 6.88 per dollar on Wednesday, following significant gains in the previous session as optimism over a potential near-term resolution to the Middle East conflict dented demand for the greenback. US President Trump said American forces would end operations in Iran within two to three weeks, adding that Iran was “begging to make a deal” but that any agreement was “irrelevant” to Washington’s timeline.
Iranian President Masoud Pezeshkian earlier said Tehran had the “necessary will” to end the conflict, provided safeguards prevent renewed hostilities. The yuan gained further support as BOC Hong Kong works with regulators to upgrade digital wallets, following China’s move to allow interest on the currency, a step that could boost offshore adoption. Meanwhile, a private survey showed the manufacturing PMI fell to 50.8 in March 2026, from 52.1 in February. In contrast, official data indicated the manufacturing PMI rebounded to a one-year high of 50.4.
