The People's Bank of China, or PBOC (China's central bank), set the yuan's daily reference rate at 6.7852 per dollar on the 25th, 633 pips weaker than the Reuters estimate of 6.7219. The gap was the largest weaker-side deviation in six months and the biggest since February 27. The PBOC has set the midpoint weaker than market forecasts consistently since November 2025, a pattern analysts and traders view as an effort to stabilize the yuan and prevent excessive appreciation. The midpoint is the daily fixing around which the yuan can trade within a plus or minus 2% band. A weaker setting can support exporters' price competitiveness and reduce risks to an export-led recovery, while raising import costs and affecting cross-border companies' margins and pricing. Investors are watching the fixing for clues about how much yuan weakness the PBOC is prepared to tolerate amid uncertainty over U.S. monetary policy and China's economic recovery.