Watch VideoPlay Video
The yuan closed higher against the dollar on Thursday, after moving in a wide range of more than 150 basis points for the day. This shows that the market have a bigger say in traded values.
The yuan closed near the 6.8000 level. This came after the central bank set the yuan's daily mid-point at 6.8100, which was little changed from the previous session.
The people's Bank of China announced over the weekend that it would allow the yuan to move more freely, but it has made it clear that its currency reform would be gradual. Since then, the yuan has risen 0.4 percent. Earlier this week, the yuan jumped to a post-revaluation high of 6.7900 versus the dollar, but then pulled back sharply.