# In Depth: Behind the Yuan’s Tumble Against the Dollar - Caixin Global

> The Chinese yuan has weakened sharply against the dollar after appreciating since June 2020. Analysts had expected the gains to fade once the Federal Reserve began raising rates, but China's worst Covid-19 outbreak since early 2020 and widespread lockdowns have worsened its economic slowdown.

- Date: 2022-05-31 · published 2022-05-31T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/41602-in-depth-behind-the-yuan-s-tumble-against-the-dollar-caixin-global
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md)

## Why it matters

A weaker yuan raises the cost of imported feed ingredients for Chinese buyers while the slowdown cuts demand for meat and feed, pressuring import prices for grains and meals.

## Read by commodity

- SBM: bearish ▼
- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2019-05-18 | [Onshore Yuan Breaks 6.9 Against U.S. Dollar as Trade War Intensifies - Caixin Global](https://feedsoft.ai/events/59281-onshore-yuan-breaks-6-9-against-u-s-dollar-as-trade-war-intensifies-caixin.md) | -0.3% | +0.1% |
| USDCNY | 2024-05-23 | [China Allows Yuan to Drop as Outflows, Dollar Test Central Bank’s Grip - Caixin Global](https://feedsoft.ai/events/30490-china-allows-yuan-to-drop-as-outflows-dollar-test-central-bank-s-grip-caixin.md) | +0.1% | +0.3% |
| USDCNY | 2018-11-01 | [Caixin Explains: Why 7 Is the Yuan’s Unlucky Number - Caixin Global](https://feedsoft.ai/events/62270-caixin-explains-why-7-is-the-yuan-s-unlucky-number-caixin-global.md) | -0.8% | -0.3% |
| USDCNY | 2023-05-18 | [As China's yuan drops through 7 again, the dollar is in the driver's seat](https://feedsoft.ai/events/36175-as-china-s-yuan-drops-through-7-again-the-dollar-is-in-the-driver-s-seat.md) | +0.9% | +1.9% |
| USDCNY | 2020-11-27 | [Yuan keeps on appreciating against both the dollar and the euro](https://feedsoft.ai/events/50362-yuan-keeps-on-appreciating-against-both-the-dollar-and-the-euro.md) | -0.7% | -0.7% |
| SBM | 2024-05-23 | [China Allows Yuan to Drop as Outflows, Dollar Test Central Bank’s Grip - Caixin Global](https://feedsoft.ai/events/30490-china-allows-yuan-to-drop-as-outflows-dollar-test-central-bank-s-grip-caixin.md) | -2.2% | -5.9% |
| SBM | 2024-11-29 | [What is happening to BRL as the Brazilian Real collapses against the US Dollar](https://feedsoft.ai/events/27617-what-is-happening-to-brl-as-the-brazilian-real-collapses-against-the-us-dollar.md) | -1.3% | +2.2% |
| SBM | 2020-01-31 | [Coronavirus and current account deficit hit the Brazilian Real against the dollar — MercoPress](https://feedsoft.ai/events/55285-coronavirus-and-current-account-deficit-hit-the-brazilian-real-against-the.md) | -1.1% | +2.4% |

## Sources

- caixinglobal.com: https://www.caixinglobal.com/2022-05-31/in-depth-behind-the-yuans-tumble-against-the-dollar-101892996.html

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