Currencies
Traders Defy China's Yuan Support, Sending Currency to One-Year Low
- Yuan drops even after PBOC sets stronger-than-expected fixing
- Higher tariffs may hit when Trump comes on board, OCBC says
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Traders defied China’s efforts to support the yuan, sending the currency to a one-year low on bets policymakers will have to keep easing monetary policy to revive the economy.
The yuan was dragged down as the nation’s 10-year bond yields slid to a record on concern the economic malaise will worsen further due to expected higher tariffs once Donald Trump becomes US president. The declines came even after Beijing tried to bolster the currency with a stronger-than-expected daily reference rate.