The People's Bank of China injected a massive net 975bn yuan in OMOs this week

The PBOC set the USD/ CNY reference rate today at 6.9646.

Open market operations are more interesting. For the week the People's Bank of China injected a net 975bn yuan. This is the largest weekly injection since January of 2019.

Ensuring banking system liquidity over the new year will be part of the reasoning for this. I suspect three is more to the huge dump of liquidity into markets than just this though.

While in China, coming up over the weekend are the official PMIs for December:

china pmi December 2022

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While in Asia, the Bank of Japan conducted an unscheduled Japanese Government Bond buying operation again today. For the third day in a row.

The Bank of Japan buys Japanese Government Bonds (JGBs) as part of its yield curve control (YCC) program to maintain loose monetary policy.

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