The renminbi has been steadily falling against the dollar. It is approaching Rmb7 to the dollar, a level that when breached in 2019 prompted President Donald Trump – wrongheadedly – to order the US Treasury to declare China a currency manipulator on the spot. Is China misbehaving? Should President Joe Biden’s administration work itself into a lather? The answer is no. There is much less here than meets the eye. Indeed, far less attention is being paid so far to recent renminbi depreciation than in past episodes of downward pressure. First and foremost, global currency movements are largely a dollar story. The dollar ... (full story)