The Yuan Falls and Takes Us With It

The Chinese government allowed the yuan to fall below seven to the dollar. This is a pretty big deal because it had previously supported that level.

This is a strike back from the PRC government to President Trump’s latest round of tariffs. The Chinese government also said it would forego buying U.S. agricultural products.

The Dow has been down as much as 600 points this morning. The problem is we don’t know how far this can escalate. If you recall, the U.S. market was knocked four years ago when the yuan was last devalued.

Posted by on August 5th, 2019 at 10:46 am


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