Chinese Yuan Drops to Lowest Levels Since December 2018
Arslan Butt • 1 min read
After China’s retaliatory tariffs were announced, the Chinese yuan slipped to its lowest levels since December 2018. The trade war is intensifying and the yuan slid all the way down to 6.92. For now, USD/CNH is trading at around 6.89 at the time of writing.
News reports suggest that China could step in if the yuan slips any further and ends up trading beyond 7 against the US dollar. The slight rise seen in the yuan currently came after Trump offered optimistic remarks that the trade talks with China will be “very successful”.
On Monday, China announced tariffs ranging between 5% and 25% on over 5,000 products from the US worth around $60 billion. This caused the Chinese yuan to suffer its steepest ever decline in a single day since July 2018.