Even a cheaper yuan CNY=CFXS has failed to arrest the decline in exports.

The main bone of contention remains the yuan CNY= .

The biggest bone of contention remains the yuan CNY= .

The Chinese yuan CNY= weakened in offshore trade.

Short bets on the yuan CNY=CFXS fell to their lowest since the start of December last year.

Meantime, investors trimmed bearish bets against the Chinese yuan CNY=CFXS to the lowest level since early August.

Fitch expects more Chinese state-owned companies to access both the offshore dollar and CNY markets in 2011.

And recently the U.S. Treasury suggested that a 12 percent (annual) CNY appreciation would appease them.

It last sat at 6.7211 per dollar in onshore trade CNY=.

China has weakened the yuan CNY= at times in the past but more recently it has engineered a strengthening.

Bearish bets on China's yuan CNY=CFXS ticked up as the renminbi hit a more than five-year low last week.

Sinochem HK's cost of funding was lower in the offshore CNY bond market than onshore borrowings for the same duration.

The yuan CNY= has since stabilized and the PBoC has juggled its fixings both higher and lower to avoid speculation.

Hopes for gains in China's yuan CNY=CFXS waned, with long positions falling to less than a third from the previous survey.

Moreover, China's yuan CNY=CFXS has also slumped to an 11-year low, weighing on emerging market currencies and the Hong Kong dollar.

The yuan CNY=CFXS rose against the dollar on Wednesday to its highest level since the currency's landmark revaluation in July 2005.