Why the Yuan is Testing PBOC's Tolerance Level
The offshore yuan headed toward a record low as Chinese policy makers signaled they are willing to allow greater declines amid a slump in exports and an advance in the dollar. The yuan has come under increased pressure of late, with some analysts speculating that the central bank has reduced support after the yuan entered the International Monetary Fund’s reserves on Oct. 1. The onshore yuan has declined in all but one session this month as the People’s Bank of China permitted a drop past the 6.7 level that was previously seen as its tolerance level. A gauge of the dollar rose to a seven-month high on Friday as the odds of a year-end Federal Reserve interest-rate increase climbed to 68 percent. Credit Agricole Head of G10 FX Research Valentin Marinov discusses the outlook for currencies and the Fed with Anna Edwards and Manus Cranny on "Bloomberg Daybreak: Europe."
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Korea Exports, Inflation Top Estimates
57:14 - South Korea's consumer prices rose at their fastest pace since 2012 in August. Exports expanded for the tenth month in a row. So, could the Bank of Korea be considering an interest rate cut? Bloomberg's Kathleen Hays reports on "Bloomberg Markets: Asia." (Source: Bloomberg)