Sources: China may devalue by 15%

Reuters ^ | 9-7-2015 | Kevin Yao and Pete Sweeney

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China's central bank is under increasing pressure from policy advisers to let the yuan currency fall quickly and sharply, by as much as 10-15 percent, as its recent gradual softening is thought to be doing more harm than good.

The People's Bank of China (PBOC) has spent billions of dollars buying yuan over recent months to defend the exchange rate, but has failed to stabilize market sentiment. The currency has steadily lost another 2.6 percent against the U.S. dollar even after the bank sprung a surprise devaluation of nearly 2 percent in August.

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U.S. manufacturing is already in a recession per the ISM survey. A massive Chinese devaluation would be highly damaging to US based industry, companies like CAT (which is already bleeding money). A huge manufacturing recession would eventually put the service sector under too.

[Greetings_Puny_Humans]

Looks like we’re on the verge of some harder times.

[BlackVeil]

Yes ... sigh. I feel that times are already hard enough.

[PA Engineer]

Thanks for the post. This is not good. BTTT.

[mrsmith]

Nov 30, 2015 - The International Monetary Fund agreed Monday to add the Chinese yuan to its reserve currency basket.