The Chinese Yuan is deliberately (market-manipulated) undervalued versus the Dollar. That makes Chinese products unnaturally cheap.
The revalution of the Yuan, if the **rumor** is correct, would instantly make Chinese products more expensive...helping to cut our Current Account trade deficit, aiding our steel (well, heck, aiding all of our) exporters, etc.
The stock market would love it. U.S. employers would love it. U.S. workers would love it.
U.S. bond traders would sit up and take notice (or else take it on the chin), certainly.
On the other hand, if the yuan float is just cosmetic (like what they announced last year) or doesn't happen, then the market gives back the gains.
But US consumers would hate it.
Thank you for explaining