Weekly commentary on international finance and economics including global events and how world issues affect our domestic issues.
Where Will the CNY Go?
Share this story:
In the ongoing trade war between the U.S. and China, that country's nightmare is to agree to a 'Plaza Accord'-like deal, similar to the one that Japan agreed to in 1985. The Japanese yen was revalued by 200 percent within two years of that agreement, ending with Japan in a boom-and-bust cycle that meant many lost decades.
China, in this situation, would prefer a weaker yuan (CNY), citing its slowing economy and huge debt pile.
Since the People's Bank of China has already led the CNY stronger this year, to avoid criticisms of currency manipulation during trade talks, there may even be a relief devaluation of the yuan after the talks conclude.
Want to learn more about international finance, economics, and global events? Sign up for our other Foreign Exchange emails and videos!
Follow City National Bank on social media:
Investment and Insurance Products:
Are Not insured by the FDIC or any other federal government agency
Are Not deposits of or guaranteed by a Bank or any Bank Affiliate
May Lose Value
This report is for general information and education only and was compiled from data and sources believed to be reliable. City National Bank does not warrant that it is accurate or complete. Opinions expressed and estimates or projections given are those of the authors as of the date of the report with no obligation to update or notify of inaccuracy or change. This report is not a recommendation or an offer or solicitation to buy or sell any financial instrument discussed. It is not specific investment advice. Financial instruments discussed may not be suitable for the reader. Readers must make independent investment decisions based on their own investment objectives and financial situations. Prices and financial instruments discussed are subject to change without notice. Instruments denominated in a foreign currency are subject to exchange rate and other risks. The Bank (and its clients or associated persons) may engage in transactions inconsistent with this report and may buy from or sell to clients or others the financial instruments discussed on a principal basis. Past performance is not an indication of future results. This report may not be reproduced, distributed or further published by any person without the written consent of City National Bank. Please cite source when quoting.
Tune in for a guide to ETFs and investing strategies for potential long-term success. View in a browser Fidelity Fidelity Log in Creating a portfolio with ETFs: Why and how Creating a portfolio with ETFs: Why and how
Exclusive webinar: The market, my portfolio, and options. Exclusive webinar: The market, my portfolio, and options. View in a browser Fidelity Fidelity Log in The market, my portfolio, and options The market, my portfolio, and options
Post a Comment