# China, Japan joined at the hip in FX war | Reuters

> Reuters reports that the yuan has reached a nine-year low and the yen is less than 1% from a fresh 50-year low against the dollar. The weakness is said to be even more pronounced on a broad real effective exchange rate basis.

- Date: 2023-06-29 · published 2023-06-29T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/35736-china-japan-joined-at-the-hip-in-fx-war-reuters
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md), [Japanese Yen (JPY per USD)](https://feedsoft.ai/c/USDJPY.md)

## Why it matters

Weak yuan and yen raise import costs for two major Asian feed buyers and could shift demand toward cheaper origins. Currency pressure in China may also affect its purchasing pace for US grains and meal.

## Read by commodity

- USDCNY: bullish ▲
- USDJPY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2022-08-25 | [Inflation-hit world cheers China’s falling yuan \| Reuters](https://feedsoft.ai/events/40261-inflation-hit-world-cheers-china-s-falling-yuan-reuters.md) | +0.5% | +3.2% |
| USDCNY | 2024-10-29 | [How the US election could impact China's markets \| Reuters](https://feedsoft.ai/events/28073-how-the-us-election-could-impact-china-s-markets-reuters.md) | -0.4% | +1.8% |
| USDCNY | 2022-12-06 | [China's yuan slips, traders wary of reopening risks \| Reuters](https://feedsoft.ai/events/6574-china-s-yuan-slips-traders-wary-of-reopening-risks-reuters.md) | +0.2% | -1.1% |
| USDCNY | 2024-03-22 | [China yuan slides to four-month low, state banks step in \| Reuters](https://feedsoft.ai/events/31441-china-yuan-slides-to-four-month-low-state-banks-step-in-reuters.md) | +0.4% | +0.5% |
| USDCNY | 2019-08-09 | [China lowers yuan mid-point to fresh 11-year low, but higher than forecasts \| Reuters](https://feedsoft.ai/events/8381-china-lowers-yuan-mid-point-to-fresh-11-year-low-but-higher-than-forecasts.md) | -0.2% | +1.0% |

## Sources

- reuters.com: https://www.reuters.com/markets/asia/china-japan-joined-hip-fx-war-2023-06-29/

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