China's yuan hit a 16-month high against the U.S. dollar on Tuesday, after the central bank of the world's second-largest economy revealed new stimulus measures, while the greenback extended declines against other major currencies after soft data on the consumer.

The yuan reached its highest level in over a year on Wednesday following interest rate cuts and new measures from China’s central bank.

China's yuan reached a 16-month high against the USD following new stimulus measures by its central bank, which included a cut in reserve requirement ratios for banks and eased mortgage repayments. This move contributed to a decline in the dollar index,

China’s yuan briefly rose to its strongest level in over a year on Wednesday after Beijing unveiled a slate of stimulus measures to shore up the slowing economy yesterday. The Chinese offshore yuan strengthened briefly to 6.