# What happens if the Chinese yuan breaches the 7 to the US dollar

> Investors are closely watching whether the yuan breaches 7 per dollar, a psychological level seen as a key indicator of the US-China trade war. Analysts say a break would hurt Chinese firms, dollar-debt holders and Beijing's push for wider yuan use. The yuan has been testing those levels more frequently in recent weeks.

- Date: 2019-05-31 · published 2019-05-31T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/59276-what-happens-if-the-chinese-yuan-breaches-the-7-to-the-us-dollar
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

A yuan slide past 7 would signal intensifying trade stress and could weigh on Chinese import demand for feed ingredients, while a stronger dollar pressures commodity prices broadly.

## Read by commodity

- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2020-05-28 | [The Chinese yuan could weaken to 7.40 per dollar amid US-China tensions](https://feedsoft.ai/events/53379-the-chinese-yuan-could-weaken-to-7-40-per-dollar-amid-us-china-tensions.md) | -0.8% | -1.3% |
| USDCNY | 2018-10-31 | [Why the Chinese yuan is falling](https://feedsoft.ai/events/62761-why-the-chinese-yuan-is-falling.md) | -0.7% | -0.4% |
| USDCNY | 2023-03-08 | [China's yuan weakens to 2-month low, with key 7-per-dollar level in sight  - The Business Times](https://feedsoft.ai/events/37091-china-s-yuan-weakens-to-2-month-low-with-key-7-per-dollar-level-in-sight-the.md) | -1.3% | -1.2% |
| USDCNY | 2020-03-19 | [Chinese Yuan Slides As Finance Investors Rush To Safe Haven Dollar](https://feedsoft.ai/events/54323-chinese-yuan-slides-as-finance-investors-rush-to-safe-haven-dollar.md) | +0.9% | +0.3% |
| USDCNY | 2017-10-26 | [China's yuan weakens on US dollar strength, set for 2nd weekly loss - The Business Times](https://feedsoft.ai/events/68677-china-s-yuan-weakens-on-us-dollar-strength-set-for-2nd-weekly-loss-the-business.md) | -0.5% | -0.5% |

## Sources

- cnbc.com: https://www.cnbc.com/2019/05/31/what-happens-if-the-chinese-yuan-breaches-the-7-to-the-us-dollar.html

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