Yuan Weakens Amid Speculation of Depreciation Plans by China in 2025

Reported about 21 hours ago

The yuan fell sharply following reports that China might allow the currency to weaken in 2025 due to potential trade tensions with the US. The offshore yuan dropped as much as 0.5% amid investor concerns that China may abandon its stable currency policy to counter the impact of expected tariffs from the US. Analysts suggest that while a moderate depreciation is possible, significant devaluation could lead to capital outflows and market instability, prompting a delicate balancing act for Chinese authorities.

Source: YAHOO

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