# China-U.S. monetary policy divergence aids yuan stability - ex-regulator

> A former SAFE balance-of-payments official, Guan, said Fed tightening should reduce foreign capital inflows into China, shrinking its trade surplus and helping stabilise the yuan. He argued the currency needs to better reflect economic fundamentals.

- Date: 2022-02-16 · published 2022-02-16T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/42926-china-u-s-monetary-policy-divergence-aids-yuan-stability-ex-regulator
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

A narrower Chinese trade surplus and weaker capital inflows could mean less demand for Chinese imports of feed inputs over time, though the effect on grain prices is indirect.

## Read by commodity

- USDCNY: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2025-06-18 | [Yuan holds steady against dollar as regulators vow stability](https://feedsoft.ai/events/24431-yuan-holds-steady-against-dollar-as-regulators-vow-stability.md) | -0.1% | -0.0% |
| USDCNY | 2019-01-22 | [Volatility expected for Chinese yuan, as experts diverge on 2019 outlooks \| South China Morning Post](https://feedsoft.ai/events/61315-volatility-expected-for-chinese-yuan-as-experts-diverge-on-2019-outlooks-south.md) | -0.5% | -0.3% |
| USDCNY | 2023-10-01 | [China’s Golden Week May Spur Volatility for Yuan at ‘Red Line’](https://feedsoft.ai/events/34330-china-s-golden-week-may-spur-volatility-for-yuan-at-red-line.md) | 0.0% | +0.2% |
| USDCNY | 2019-11-06 | [China’s yuan and bonds temper rally as markets await policy certainty - Gulf Times](https://feedsoft.ai/events/56295-china-s-yuan-and-bonds-temper-rally-as-markets-await-policy-certainty-gulf-times.md) | +0.2% | +0.5% |
| USDCNY | 2017-01-19 | [China sees fierce pre-holiday liquidity scramble, money rates surge but yuan dips \| Reuters](https://feedsoft.ai/events/11874-china-sees-fierce-pre-holiday-liquidity-scramble-money-rates-surge-but-yuan.md) | +0.6% | +0.2% |

## Sources

- reuters.com: https://www.reuters.com/markets/currencies/china-us-monetary-policy-divergence-aids-yuan-stability-ex-regulator-2022-02-16/

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