Latest News:  

English>>Business

Yuan dips on global currency war fears

By Jane Feng   (Shanghai Daily)

08:27, February 19, 2013

THE yuan yesterday weakened the most in two months on the spot market as the Chinese central bank lowered the central parity rate on rising concerns about a potential global currency war.

The People's Bank of China yesterday set the reference rate 0.04 percent weaker at 6.2816 per US dollar yesterday as trading resumed after the holiday break.

On the spot market, the yuan closed at 6.2427 per US dollar, 0.16 percent weaker from February 8 and recorded the biggest daily decline since December 14, according to data from the China Foreign Exchange Trade System. The yuan is allowed to trade 1 percent on each side of the reference rate.

The yuan weakened after the US dollar index, a gauge measuring the value of the greenback against major currencies, hit a six-week high yesterday as Japan voiced easing measures.

"Concerns appear to be growing about the potential for a so-called global currency war," said Alaistair Chan, an economist at Moody's Analytics.

"Such a war may increase protectionism if countries ease monetary policy aggressively in order to lower their currency value," Chan said.

We recommend:

Macao embraces peak tourist season

Sweet smell of profit if it's an Internet domain

Sina seeks new revenues while battling WeChat

American create world's biggest airline

Robot pavilion opens to public at Taipei

Ministry acts on dairy safety

Email|Print|Comments(Editor:MaXi、Li Zhenyu)

Related Reading

Leave your comment0 comments

  1. Name

  

Selections for you


  1. Islet guards have dreams

  2. 'Golden Dragon Parade' held in Chinatown in U.S.

  3. Lunar New Year celebration held in Sydney

  4. Smog shrouds Beijing and some other cities

  5. Wedding of Lisu people in Sichuan

  6. Dancers get groove on Chongqing style

  7. World's rarest monkeys to be re-introduced

  8. Cute piggy without hind legs

  9. Hongyanhe nuclear power station in China

  10. Investors taking stock as fortunes improve

Most Popular

Opinions

  1. How to face wrestling's removal from Olympics?
  2. Discontents of demography
  3. Online ambitions could elude mid-level brands
  4. Human rights progress as a matter of fact
  5. Millions on the move
  6. US to withdraw from Middle East?
  7. Ensure fairness during festival travel rush
  8. Is the wolf really gone?

What’s happening in China

A 9-year-old son takes good care of his amputee mother: "adults have a priority over delicious meals"

  1. 63 sentenced over SW China pyramid selling
  2. Passenger plane emergency landing in NE China
  3. Guangzhou govt subsidizes sea burials
  4. 13 arrested for drug trafficking in SW China
  5. Experts to probe reservoir dam collapse