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The risks and benefits of China weakening its currency
So, as I predicted, the China plenum didn't shed much light on what the country's leaders are thinking about the economy. In any case, trying to read the minds of China's economic tzars is often an exercise in futility. But if you really want to know what their plans are, take a look at this graph showing the US dollar against the Chinese currency, the yuan. This Friday, the yuan hit a six-year low having done so again and again over the past few weeks, which you can see from the dollar climbing all the way up at the end of the graph. And over the past year the Chinese currency has been weakening against the US ... (full story)