Chinese yuan plunges in March as foreign exchange reserves decline

Chinese yuan plunges in March as foreign exchange reserves fall

(ATF) After the fastest appreciation in history last year the exchange rate of the RMB/yuan suddenly hit turbulence in March, which saw a month of decline, and has led to head scratching on whether the Chinese currency will start appreciating again – or is this turnaround a longer-term trend? The …

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China's central bank floats plan for yuan futures exchange market

China's central bank floats plan for yuan futures exchange market

(ATF) Numerous concerns have been raised about the recommendation of China’s central bank to establish a yuan exchange-rate futures market. The People's Bank of China issued a working paper on Tuesday April 6 that said a yuan exchange rate futures market should be set up in due course. Authors of …

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Don’t panic yet! Yuan hits 4-month low

Don’t panic yet! Yuan hits 4-month low

(ATF) Recent changes in the yuan exchange rate have attracted widespread attention. It has now hit a four-month low, and devaluation of the yuan has led to introspection. What is the new low yuan exchange rate? According to the financial sector, on Tuesday March 30, the China Foreign Exchange Trading …

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US economy strength keeps pressure on yuan

US economy strength keeps pressure on yuan

(ATF) The yuan was set at 6.5641 Monday, 225 basis points lower than the previous day, and its lowest against the dollar in four months, according to the China Foreign Exchange Trading Center. The dollar broke the 6.57 mark in the onshore market while the offshore rate closed at 6.5736, …

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US dollar index soars, yuan drops below 6.52

US dollar index soars, yuan drops below 6.52

(ATF) The US dollar index soared on Wednesday March 24, causing the RMB and yuan exchange rates to both fall below 6.52 to the USD. Speeches made by US Treasury Secretary Janet Yellen and Federal Reserve chairman Jerome Powell on March 23, US local time, stimulated the market’s risk aversion …

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Debt is the grey rhino risk, top China economist warns

Debt is the grey rhino risk, top China economist warns

(ATF) Recently, US President Biden signed the $1.9-trillion US Economic Relief Act. After he took office, Biden was committed to implementing a series of new deals. As the world struggles with the pandemic, what will happen to the US dollar and RMB? Guan Tao, chief economist at Bank of China …

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Yuan waiting on Fed, Japanese yen tightening

Yuan waiting on Fed, Japanese yen tightening

(ATF) China’s yuan weakened Friday as the dollar climbed on rising Treasury yields following the Fed’s pledge to keep interest rates low. The offshore yuan was set by the People’s Bank of China lower than Thursday at 6.5098 and it depreciated to 6.5181. The Chinese currency has been weakening towards …

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