Comments by PBOC adviser, Ma Jun, in an interview with Bloomberg
- Whether or not yuan hits level of 7.00 to the dollar 'isn't that crucial'
- Market players have accepted flexibility in the currency's exchange rate
- Yuan's two-way volatility is similar to other major currencies
- Media shouldn't pay too much attention on whether a specific level could be the bottom line
I very much agree with what he's saying here to be honest. There's no doubting that the psychological factor of hitting 7.00 will play a big part on investors' outlook on the Chinese economy but I don't expect the yuan to experience a free fall once we get there. It's just another number on the charts if you ask me.
