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22%  
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Keyword: moneypolicy

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  • China in pre-G20 climbdown over yuan

    06/19/2010 3:21:44 PM PDT · by bruinbirdman · 2 replies · 441+ views
    The Telegraph ^ | 6/19/2010 | Garry White
    China said yesterday that it would allow a more flexible yuan, bringing to an end its controversial 23-month peg to the US dollar which has been accused of keeping Chinese exports artificially cheap. The People's Bank of China (PBOC) ruled out the one-off revaluation that US politicians had sought, arguing that there was "no basis for big fluctuations or changes". Instead, the yuan's 0.5pc daily trading band will remain unaltered, but the central bank will use a system of setting daily reference rates for the currency to slowly guide the exchange rate against the dollar higher. This is a similar...
  • Beijing Move Threatens to Shake Up Its Neighbors

    06/20/2010 5:50:21 PM PDT · by Pan_Yan · 12 replies
    Wall Street Journal ^ | JUNE 20, 2010, 7:59 P.M. ET | ALEX FRANGOS / TOM LAURICELLA
    While all eyes will be trained on the Chinese yuan in coming days, China's decision to drop its currency peg and allow its currency to gradually rise is likely cause bigger reverberations in the rest of Asia. Analysts are looking for big gains in currencies such as the South Korean won, Singapore dollar, Thai baht and Malaysian ringgit. The reason: they are proxies for China's growth and they're economic competitors which can now let their currencies rise as well. "It's possible the bigger currency moves will be in the rest of Asia, not in China," says Robert Subbaraman, economist for...