# Weakening yuan could be what China needs, but not what it wants - Nikkei Asia

> The yuan hit a seven-month low against the US dollar, approaching its weakest level since 2008, as Chinese policymakers weigh how far they want the currency to fall. The article frames the decline as potentially helpful for exports but unwelcome for policy goals.

- Date: 2024-06-23 · published 2024-06-23T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/30007-weakening-yuan-could-be-what-china-needs-but-not-what-it-wants-nikkei-asia
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

A weaker yuan makes dollar-priced imports more expensive for China, which can reduce its buying of feed grains and oilseeds at the margin.

## Read by commodity

- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2020-02-03 | [China's yuan weakens but falling yen points to risk recovery](https://feedsoft.ai/events/5135-china-s-yuan-weakens-but-falling-yen-points-to-risk-recovery.md) | +1.2% | +0.6% |
| USDCNY | 2018-10-30 | [Yuan's slide to decade low puts China in tricky position - Nikkei Asia](https://feedsoft.ai/events/62765-yuan-s-slide-to-decade-low-puts-china-in-tricky-position-nikkei-asia.md) | -0.5% | -0.1% |
| USDCNY | 2022-05-26 | [Slumping yuan a new strain for Chinese consumers and airlines - Nikkei Asia](https://feedsoft.ai/events/41604-slumping-yuan-a-new-strain-for-chinese-consumers-and-airlines-nikkei-asia.md) | -0.5% | -0.1% |
| USDCNY | 2019-06-25 | [Most Asian currencies weaker than they should be against dollar - Nikkei Asia](https://feedsoft.ai/events/58819-most-asian-currencies-weaker-than-they-should-be-against-dollar-nikkei-asia.md) | -0.4% | +0.0% |
| USDCNY | 2022-05-11 | [How PBOC might respond to China's weakening yuan](https://feedsoft.ai/events/10987-how-pboc-might-respond-to-china-s-weakening-yuan.md) | +0.0% | -0.8% |

## Sources

- asia.nikkei.com: https://asia.nikkei.com/spotlight/market-spotlight/weakening-yuan-could-be-what-china-needs-but-not-what-it-wants

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.