# China's yuan falls, but fears of US trade war may cap depreciation - The Business Times

> The yuan fell against the US dollar on Monday after the People's Bank of China set a weaker midpoint of 6.8814 per dollar, reflecting global dollar strength. Traders said depreciation room is limited because of the threat of a US trade war, and Trump had labelled China a currency manipulator the previous Thursday.

- Date: 2017-02-26 · published 2017-02-26T12:00:00.000Z
- Category: macro · region China · magnitude low
- Page: https://feedsoft.ai/events/72719-china-s-yuan-falls-but-fears-of-us-trade-war-may-cap-depreciation-the-business
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

A weaker yuan makes Chinese exports cheaper and raises the dollar cost of imported feed inputs. Trade-war risk limits how far the currency can slide, which caps the upside for USD/CNY.

## Read by commodity

- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2024-05-01 | [Yuan falls out of favour with China’s exporters as fears of depreciation mount](https://feedsoft.ai/events/30957-yuan-falls-out-of-favour-with-china-s-exporters-as-fears-of-depreciation-mount.md) | -0.3% | +0.1% |
| USDCNY | 2017-04-25 | [China's yuan dips against US dollar, falls to record low against currency basket - The Business Times](https://feedsoft.ai/events/71709-china-s-yuan-dips-against-us-dollar-falls-to-record-low-against-currency-basket.md) | +0.1% | -0.0% |
| 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% |
| USDCNY | 2022-01-06 | [China's yuan eases on hawkish Fed, warning of depreciation pressure \| Reuters](https://feedsoft.ai/events/43356-china-s-yuan-eases-on-hawkish-fed-warning-of-depreciation-pressure-reuters.md) | -0.1% | -0.0% |
| USDCNY | 2022-10-25 | [China’s yuan tumbles amid fears about Xi’s third term \| CNN Business](https://feedsoft.ai/events/39357-china-s-yuan-tumbles-amid-fears-about-xi-s-third-term-cnn-business.md) | +0.6% | -1.7% |

## Sources

- businesstimes.com.sg: https://www.businesstimes.com.sg/companies-markets/banking-finance/chinas-yuan-falls-fears-us-trade-war-may-cap-depreciation

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