◂ Event Timeline

Dec 27, 2023MACROChina

How China Manages Its Currency—and Why That Matters

The yuan lost about 3% against the dollar in 2023 and traded near 16-year lows in September. The dollar was buying about 7.11 yuan at the time of writing.

WHY IT MATTERS

Yuan weakness raises the dollar cost of Chinese imports of feed grains and meal, which can slow purchases when margins tighten.

AFFECTSChinese Yuan (CNY per USD)◆

SOURCE
wsj.comWeilun SoonDec 27, 2023

Price reaction & history

Chinese Yuan (CNY per USD)◆neutralSO FAR1d -0.0%5d +0.1%20d +0.4%

After 169 past neutral macro events, Chinese Yuan (CNY per USD) moved a median +0.0% over 5 sessions (50% higher; middle half -0.3% to +0.2%), and -0.0% over 20.

Apr 17, 2018China currency moves hang in the balance in U.S. trade spat | Reuters+0.6%
Oct 4, 2017China’s currency balancing act | ANZ-1.0%
May 10, 2018Opinion: Why China’s Currency Is Becoming a Safe Haven - Caixin Global+0.2%
Apr 10, 2017Opinion | Why PBOC’s halt in currency intervention may be temporary | South China Morning Post-0.2%
Jul 4, 2017China's yuan gains, but market wary of Beijing's currency policy - The Business Times+0.0%

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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