◂ Event Timeline

Jun 28, 2023MACROChina

Age of crisis leaves world's big currencies out of sync

The yuan has slid almost 5% so far this year, hurt by a weak economy and a wide interest-rate gap with the United States. Beijing set a stronger-than-expected trading band for the currency, suggesting discomfort with the pace of its weakening.

WHY IT MATTERS

A weaker yuan raises the cost of dollar-priced imports for China, which can weigh on its purchasing of soybeans and other feed grains, while the policy response hints at possible support.

AFFECTSChinese Yuan (CNY per USD)▲

SOURCE
reuters.comAlun JohnJun 28, 2023

Price reaction & history

Chinese Yuan (CNY per USD)▲bullishSO FAR1d +0.3%5d +0.4%20d -1.0%

After 398 past bullish macro events, Chinese Yuan (CNY per USD) moved a median +0.0% over 5 sessions (56% higher; middle half -0.3% to +0.5%), and +0.0% over 20.

Nov 25, 2016Dollar pulls back after skittling world currencies-0.5%
Jun 11, 2019Why ‘cracking seven’ is a big deal for China’s currency-0.1%
Sep 27, 2018World’s two largest economies diverge as China leaves key interest rate unchanged in wake of US Fed cut | South China Morning Post-0.1%
Jun 25, 2019Most Asian currencies weaker than they should be against dollar - Nikkei Asia-0.4%
Sep 28, 2023Rupee ducks slump in EM currencies, but crude, dollar threats loom-0.2%

Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.

Chinese Yuan (CNY per USD) USDCNY · GP ▸

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