The central parity rate of the Chinese currency renminbi, or the yuan, weakened 41 basis points to 6.8238 against the U.S. dollar Friday, according to the China Foreign Exchange Trade System.

Under China's market-based, managed floating exchange rate system, the yuan is allowed to rise or fall by 2 percent against the dollar from the central parity rate in the spot market each trading day.

The central parity rate is a weighted average of quotes from dealer banks and follows a formula based on the previous day's closing rate and changes in a basket of selected currencies.

The greenback has edged higher since the U.S. Federal Reserve raised interest rates last Wednesday. The dollar was little changed early on Friday as traders marked time ahead of next week's U.S. inflation-linked indicators.

The dollar index, which measures the greenback against six major peers, stood little changed at 97.547. The upside for the dollar may remain limited, according to analysts.

Measured by the central parity rate, the yuan has appreciated more than 2 percent against the greenback so far this year, with more than half of that in the past month.