(Bloomberg) -- The yuan is missing out on a post-Brexit recovery among Asian currencies, a sign that China favors a weakening of its exchange rate to help local exporters compete. The central bank has lowered the yuan's daily reference rate by 1.4 percent since Britain voted to leave the European Union, helping push the onshore currency to a five-year low. The monetary authority's tendency of allowing faster yuan depreciation after the Brexit vote creates capital outflow pressures, Bank of America Corp. analysts wrote in a July 4 note.
To contact the reporters on this story: Kyoungwha Kim in Hong Kong at kkim19@bloomberg.net, Masaki Kondo in Singapore at mkondo3@bloomberg.net. To contact the editors responsible for this story: Robin Ganguly at rganguly1@bloomberg.net, Sarah McDonald at smcdonald23@bloomberg.net, Tan Hwee Ann at hatan@bloomberg.net, James Regan
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