PBOC vows to keep stable yuan

China's central bank has released a report saying it will keep the yuan stable at a 'balanced and reasonable level' but that it also sees increasing flexibility in the exchange rate.

The People's Bank of China issued the report after the fourth-quarter meeting of the monetary policy committee, and warned of a possible rebound in fixed-asset investment as well as problems ahead with the nation's balance of payments.

'The new yuan exchange rate system is operating in a stable manner, the flexibil