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China’s Yuan Below 7 Per Dollar as Zero-Covid Eased – WSJ

China’s currency rose to its strongest level in two months – to below 7 per dollar – on Monday, on expectations the US Fed will cut its interest rate hikes, while Beijing eases its zero-Covid policy


China's yuan rose to its highest in two months on Monday
The Chinese currency has appreciated rapidly as talk of US rate hikes easing and a loosening of China's tough zero-Covid restrictions. File photo: AFP.

 

China’s currency rose to its strongest level in two months – with the offshore yuan rising 0.8% to below 7 per dollar – on Monday, according to the Wall Street Journal, which said the greenback was trading around 6.95 by mid-afternoon in Hong Kong.

“It was the first time the yuan had gone below 7 against the US dollar since mid-September,” the report said, after the currency’s rapid appreciation, stemming from local government’s easing strict zero-Covid rules that have undermined the country’s economic growth and rising expectation that the US Federal Reserve will slow the pace of its interest rate hikes.

 

ALSO SEE:

China Seen Announcing Steps to Ease Covid Curbs on Wednesday

Covid Concerns Add to Apple’s Need to Diversify Out of China

 

 

Jim Pollard

Jim Pollard is an Australian journalist based in Thailand since 1999. He worked for News Ltd papers in Sydney, Perth, London and Melbourne before travelling through SE Asia in the late 90s. He was a senior editor at The Nation for 17+ years and has a family in Bangkok.

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