Useful points made by Senior Fellow at Council on Foreign Relations (CFR) Brad Setser.
I'd only add that China has already begun to let the yuan drop. We had the heads up on this from HSBC, and they were spot on:
(USD/CNY chart below)
ADVERTISEMENT - CONTINUE READING BELOW
Search investingLive
Directory
Trump wants 60% tariff on China, China can respond by letting the yuan fall
- The People's Bank of China has already begun loosening its support of the CNY
ADVERTISEMENT - CONTINUE READING BELOW
- Tags
- CNY
- pboc
- CNH
- China
- China Stock Market
Most Popular
- FT: Trump is pushing for 15 – 20% minimum tariff on all EU goods. EURUSD moves lower.
- investingLive European FX news wrap: SNB and BoE steady; US dollar extends gains
- BoE leaves bank rate unchanged at 3.75% in June meeting, as expected
- The US dollar rises to the highest level since May 2025 on increased Fed rate hike bets
- Gold closes the gap following the hawkish Fed's dot plot; tightening bias caps the upside
- SNB's Schlegel dodges question on the addition of "if necessary" about FX intervention
- SNB leaves key policy rate unchanged at 0% in June meeting, as widely expected
ADVERTISEMENT - CONTINUE READING BELOW
Best in 2026
Sponsored
ADVERTISEMENT - CONTINUE READING BELOW
ADVERTISEMENT - CONTINUE READING BELOW
Telegram Community
Gain Access
SpaceX inks $60B AI deal for Cursor, boosting its valuation and challenging OpenAI. Big returns for founders.
thestreet
2m ago
BOE holds rates at 3.75% on peace hopes, but signals caution on Hormuz opening.
CNBC
16m ago
BOE holds rates at 3.75% amid Iran peace hopes. Traders watch for future signals.
BBC
22m ago
Warsh's Fed debut sparks mixed Treasury yields. Officials eye rate hikes, signaling potential risk.
Financial Times
45m ago
Intel jumps 9% on Trump's Apple chip deal news. Huge customer win boosts valuation.
CNBC
57m ago
Fed rate hike odds climb for Sept & Oct! Traders eye higher borrowing costs, impacting valuations.
Bloomberg
1h ago
Nasdaq futures jump on Iran deal news, but hawkish Fed signals loom. Gas prices dip below $4.
WSJ
1h ago
Telegram Community
Gain Access
Best in 2026
Sponsored
Must Read
!"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|} !"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|}