# Renminbi movements: it's more than the trade and current account - OMFIF

> An OMFIF analysis says the renminbi has fallen substantially this year against the dollar, down nearly 8.5%, despite a rebound of about 5% from October lows. Capital outflows driven by higher U.S. rates are the main cause, even though China's current account surplus is large. Authorities have acted to slow depreciation.

- Date: 2022-12-05 · published 2022-12-05T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/6575-renminbi-movements-it-s-more-than-the-trade-and-current-account-omfif
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

Persistent yuan weakness makes Chinese imports of dollar-priced commodities more expensive, which can weigh on demand. The outlook depends on whether U.S. rate peaks and China's reopening curb capital outflows.

## Read by commodity

- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2024-05-29 | [Pressure mounts on Beijing to allow renminbi to weaken - The Pound Hub](https://feedsoft.ai/events/30494-pressure-mounts-on-beijing-to-allow-renminbi-to-weaken-the-pound-hub.md) | -0.1% | +0.3% |
| USDCNY | 2021-12-09 | [Will the renminbi surprise the market? - BNP Paribas Asset Management UK](https://feedsoft.ai/events/11296-will-the-renminbi-surprise-the-market-bnp-paribas-asset-management-uk.md) | +0.4% | +0.5% |
| USDCNY | 2022-05-24 | [A fireside chat about the renminbi – How far will it fall? \| ViewPoint English](https://feedsoft.ai/events/9860-a-fireside-chat-about-the-renminbi-how-far-will-it-fall-viewpoint-english.md) | +0.3% | +0.7% |
| USDCNY | 2021-09-24 | [The curious case of the super-stable renminbi \| Capital Economics](https://feedsoft.ai/events/45277-the-curious-case-of-the-super-stable-renminbi-capital-economics.md) | -0.2% | -1.2% |
| USDCNY | 2022-10-25 | [FX Daily: People’s Bank of China loosens its hold on the renminbi \| articles \| ING THINK](https://feedsoft.ai/events/39356-fx-daily-people-s-bank-of-china-loosens-its-hold-on-the-renminbi-articles-ing.md) | +0.6% | -1.7% |

## Sources

- omfif.org: https://www.omfif.org/2022/12/renminbi-movements-its-more-than-the-trade-and-current-account/

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