China’s decision to end its currency’s two-year-old peg to the U.S. dollar is stirring anticipation of a gradual appreciation in the yuan in trading today — an increase that would bring relief to foreign manufacturers struggling to compete with cheap Chinese products.

Beijing has long refused to allow the yuan, also known as the renminbi, to float and denied accusations its currency is unfairly undervalued.

China, however, is still steering a path to recovery, and with workers at home demanding wage hikes — which would also increase the price of exports — the central bank has sought to curb speculation of a major strengthening of the yuan’s value.

“There is at present no basis for major fluctuation or change in the renminbi exchange rate,” the People’s Bank of China said.