Yuan Taps New Low Versus US Dollar as Investors React to Endorsement of Chinese President's Third-Term Bid
The Chinese yuan’s offshore exchange rate against the U.S. dollar fell to a new all-time low of 7.33:1 just over a day after the conclusion of the Chinese Communist Party’s congress which gave President Xi Jinping the mandate to lead the country for the third time. Concerns over Xi’s unprecedented third term, as well as the reshuffle of his top team, are said to have sparked a sell-off of stocks that wiped billions from the wealth of China’s super rich. Chinese Yuan Has Depreciated by 7% Since Late August The Chinese currency’s offshore exchange rate versus the U.S. dollar tapped a new all-time low of CN¥7.33:$1 when it fell by 1.5% some 24 hours after the conclusion of the Chinese Communist Party (CCP)’s congress. According to one report, the currency slipped because the CCP congress, which endorsed President Xi Jinping’s bid to lead the country for an unprecedented third term, did not ease investor concerns over the well-being of the world’s second-la...