China's yuan hits record high against dollar

China's yuan rose to the 6.30 level against the US dollar on Friday in Shanghai, the highest since Beijing revalued the Chinese currency in July 2005, ahead of the country's week-long holiday. At one point, the yuan briefly hit CNY 6.2856 per dollar, compared with Thursday's close of CNY 6.3025, according to the China Foreign Exchange Trade System. The previous all-time high was CNY 6.2884 set in February. In the morning, China's central bank set the US dollar-yuan central parity rate, an official reference for daily trading, at a record high of at CNY 6. 3410, up 49 basis points 0.0049 from the previous day. The People's Bank of China fixes the central parity rate every morning, and allows the currency to rise or fall by up to 1.0 percent from the midpoint each trading day. The yuan-dollar central parity rate is based on a weighted average of prices before the opening of the market each trading day. The appreciation of the yuan has been one of the core disputes between China and the US in recent years, with American policymakers often arguing that the Chinese currency is significantly undervalued, giving China's exporters an unfair advantage. China's financial markets will close from Oct. 1 for the week-long National Day and Mid-Autumn Festival.