Nov. 21 (Bloomberg) -- The yuan had the biggest weekly decline in almost a month on speculation China is seeking to protect exporters and prevent a recession in the world's fourth- largest economy.
``There is some pressure for depreciation as the dollar is strong and other Asian currencies are softening,'' said Patrick Bennett, a foreign-exchange strategist with Societe Generale SA in Hong Kong. ``Still, record trade surpluses and strong investment flows suggest appreciation pressure is intact.''
China has managed the yuan's exchange rate against a basket of currencies including the euro, yen and British pound since July 2005. The local currency gained 14 percent against the pound and 5.1 percent versus the euro in the past month.
Increasing Pressure
The U.S.-China Economic and Security Review Commission urged lawmakers in its sixth annual report issued yesterday to increase pressure on China to raise the value of the yuan, impose tariffs on low-cost imports and disclose all investments in American hedge funds, private equity and other companies.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment