SHANGHAI, Dec 31 (Reuters) - China will adjust the weightings of its CFETS yuan basket in 2026, the country's foreign exchange trade platform said on Wednesday.
From January 1, the China Foreign Exchange Trade System, which is overseen by the central bank, will lower the weightings of several major currencies, including the U.S. dollar, euro, Japanese yen and Australian dollar, it said in an online statement.
The adjustment is a routine annual update based on a trade-weighted methodology, and "the operational trends of the new and existing versions of the yuan CFETS basket index are largely consistent," it said.
The weighting of the U.S. dollar in the CFETS basket will be reduced to 18.307% from 18.903%, while the euro's weighting will be cut to 17.862% from 17.902%.
Meanwhile, it will increase the weightings of some other currencies, including the Hong Kong dollar, Thai baht and Korean won.
The Korean won will become the third heaviest currency, surpassing the Japanese yen, the statement said.
Reporting by Shanghai Newsroom; Editing by Sharon Singleton
Source: Reuters