China and US bond markets head in opposite directions

China’s central bank sought to cool currency gains after the yuan hit the strongest against the dollar in more than three years following US government intervention in the bond market. The People’s Bank of China set the daily yuan fixing rate at 6.7808 per dollar on Thursday, or 598 pips below the average estimate in a Bloomberg survey. That was the widest gap between the fixing and expectations since February, according to the financial news service. Offshore yuan earlier rose to the highest...