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China’s yuan trades 7:1 against the dollar

China, USA, capitalism, currency, dollar, financial markets, financial regulation, international trade

China’s yuan trades 7:1 against the dollar

China’s currency, the yuan, has continued its strong ascent in value against the US dollar, as the central bank set the medium parity trading rate at 7:0015 against the greenback on Tuesday.  There only exists a wafer thin distance to reach the benchmark of 7:1 yuan vs dollar ratio.  The People’s Bank of China abolished a fixed rate targeting the US dollar in July 2005. Since then, the yuan’s value has been determined by the market performance of a basket of major foreign currencies, including the dollar, the euro, and the Japanese yen

KaLeo @ April 7, 2008

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