Vs Parity Previous USD/CNY Central Parity 6.2829 6.2923 USD/CNY OTC 0830 GMT 6.3060 0.37% 6.3041 High 6.3067 0.38% Low 6.2982 0.24% SHANGHAI (Dow Jones)--China's yuan fell against the U.S. dollar late Thursday as heavy dollar buying emerged after the central bank guided the yuan higher via a reference rate. On the over-the-counter market, the dollar was at CNY6.3060 around 0830 GMT, higher than Wednesday's close of CNY6.3041. It traded in a range of CNY6.2982 to CNY6.3067. The People's Bank of China set the dollar/yuan central parity rate at 6.2829, the lowest level since China depegged its currency from the dollar in 2005 and lower than Wednesday's 6.2923. The ICE Dollar Index, which tracks the dollar against a trade-weighted basket of currencies, was at was at 79.070 late Wednesday in New York, from 79.225 late Tuesday. At 0830 GMT, the index was at 78.889. Some traders suspect the central bank set the fixing so low because China and the U.S. will hold a fourth round of strategic economic dialogue next week. "I think our central bank still cares about what the Americans think," said a Shanghai-based local bank trader, adding that the central bank, however, has made its move far ahead of the meetings so it is less obvious. Many traders took the chance to buy the dollar on the cheap, helping push the pair up from their lower opening levels. The yuan has fallen 0.2% since the start of 2012. Offshore, one-year dollar/yuan nondeliverable forward contracts fell to 6.3445/6.3475 from 6.3500/6.3530 late Wednesday, implying a 0.6% fall by the yuan over the next year. In the offshore yuan market in Hong Kong, where the Chinese currency floats freely, the dollar was at CNY6.3045 late Thursday, lower than CNY6.3068 late Wednesday. -Wynne Wang contributed to this article, Dow Jones Newswires; (86-21) 6120-1200; wynne.wang@dowjones.com

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