China has reportedly asked big banks to stagger and adjust dollar purchases to alleviate downside pressure on the yuan. This move comes as tensions rise between China and the United States.
BREAKING NEWS
CHINA ASKS BIG BANKS TO STAGGER AND ADJUST DOLLAR PURCHASES IN ORDER TO ALLEVIATE DOWNSIDE PRESSURE ON THE YUAN
It is getting hot.
— Gold Telegraph ⚡ (@GoldTelegraph_) September 14, 2023
In a move aimed at mitigating the downward pressure on the yuan, China has instructed major banks to stagger and adjust their purchases of the dollar. This breaking news comes at a time when tensions between China and the United States have been escalating. The decision is seen as a proactive measure by the Chinese government to stabilize its currency amidst the growing trade war.
The directive, which was issued recently, requires major banks in China to carefully manage their dollar purchases, in order to avoid any sudden fluctuations in the yuan’s value. By spreading out the purchases over a longer period of time, the hope is that the yuan will not experience any significant depreciation.
The announcement has sparked market speculation, with experts questioning the potential impact on global financial markets. Some analysts believe that this move by China could lead to increased volatility in the currency markets, while others suggest it may help alleviate the pressure on the yuan in the short term.
The decision comes as a surprise to many, as China has traditionally been known for its tight control over its currency. However, with the ongoing trade tensions and the threat of further tariffs from the United States, the Chinese government appears to be taking measures to protect its economy.
As the situation continues to unfold, it remains to be seen how this move will impact the yuan and global markets. Investors will be closely watching for any further developments and the potential implications for the broader economy..
BREAKING NEWS
CHINA ASKS BIG BANKS TO STAGGER AND ADJUST DOLLAR PURCHASES IN ORDER TO ALLEVIATE DOWNSIDE PRESSURE ON THE YUAN
It is getting hot.
— Gold Telegraph (@GoldTelegraph_) September 14, 2023