Chinese yuan rises to strongest against USD in over a year

The Chinese currency on Tuesday strengthened against the U.S. dollar to its highest level in more than a year.

The central parity rate of the Chinese currency, the renminbi or the yuan, strengthened 60 basis points to 6.6293 against the U.S. dollar Tuesday, according to the China Foreign Exchange Trade System.

The adjustment came after a rise of 226 basis points Monday, reaching the highest level since August last year.

The dollar slipped to a 15-month low against the other major currencies in late trading on Monday after Federal Reserve Chair Janet Yellen did not mention monetary policy at a central bankers' summit and as the euro remained broadly supported.

More than two years after China changed its "central parity system" to let the market play a bigger role in exchange rate formation, China's currency stands tall against the U.S. dollar with stabilized market expectations.

"A sound economic fundamental is the main reason for the yuan's rise," said Fan Ruoying, a senior analyst with the Bank of China.