Friday 22nd July 2005 |
Text too small? |
The immediate effect is a revaluation of the yuan.
From now on, the yuan will be linked to a basket of currencies, the central parities of which will be set at the end of each day, The Economist reports.
And the currency has been revalued 2.11% to 8.11. While this is nothing like as much as the United States and others have been demanding.
The Economist says it was not clear exactly how the new system would operate. The Chinese called it a "managed floating exchange-rate regime", which may well imply more management than floating.
The fact that the Chinese have acted at all is important. But the eventual economic and political effects of the revaluation will depend on how far and how fast the yuan moves from now on, The Economist says.
No comments yet
SML - Synlait Milk Limited - Trading Halt of Securities
AIA - Auckland Airport announces board chair changes
AIA - Auckland Airport announces board chair changes
CEN - Tauhara commissioning progress update
FPH initiates voluntary limited recall
March 28th Morning Report
KFL Celebrates 20 Years of Excellence in Investment Mgmt.
SVR - Savor FY24 Earnings Guidance & Change in Banking Partner
NZK - NZ King Salmon Investments Limited FY24 Results
March 27th Morning Report