# China’s currency just had its worst month ever. It’s still dropping

> China's yuan has had its worst month on record amid investor money leaving the country. Concerns over rising COVID lockdowns in major cities, along with fallout from Russia's invasion of Ukraine, are driving the outflows.

- Date: 2022-05-13 · published 2022-05-13T12:00:00.000Z
- Category: macro · region China · magnitude medium
- Page: https://feedsoft.ai/events/9855-china-s-currency-just-had-its-worst-month-ever-it-s-still-dropping
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

A weaker yuan raises the cost of imported feed inputs priced in dollars for Chinese buyers, while cutting demand for overseas products priced in dollars. A falling yuan therefore tends to lift USD/CNY and weigh on China's feed import demand.

## Read by commodity

- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2021-03-31 | [China’s currency set for worst month since US trade war](https://feedsoft.ai/events/48332-china-s-currency-set-for-worst-month-since-us-trade-war.md) | -0.5% | -1.3% |
| USDCNY | 2018-10-26 | [China says it will do battle with speculators betting against its currency](https://feedsoft.ai/events/62768-china-says-it-will-do-battle-with-speculators-betting-against-its-currency.md) | -0.4% | -0.1% |
| USDCNY | 2016-12-29 | [What Is China Trying to Do With Its Currency?    - WSJ](https://feedsoft.ai/events/73691-what-is-china-trying-to-do-with-its-currency-wsj.md) | -1.0% | -1.1% |
| USDCNY | 2019-06-11 | [Why ‘cracking seven’ is a big deal for China’s currency](https://feedsoft.ai/events/58820-why-cracking-seven-is-a-big-deal-for-china-s-currency.md) | -0.1% | -0.6% |
| USDCNY | 2018-01-09 | [China Changes the Way It Manages Yuan After Currency's Jump - Bloomberg](https://feedsoft.ai/events/67197-china-changes-the-way-it-manages-yuan-after-currency-s-jump-bloomberg.md) | -0.9% | -3.3% |

## Sources

- cnn.com: https://www.cnn.com/2022/05/13/investing/china-covid-yuan-usd-weakening-intl-hnk

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