China’s leaders just wrapped up their annual National People’s Congress meeting, where policy, economic, market and domestic objectives are solidified in order to create a five-year plan. While the plan covers many areas, analysts globally tend to focus on the economic growth rate that leaders plan to deliver. This year, Premier Li claimed China will grow between 6.5-7%, and signaled…
When I think of all the mayhem that is currently Chinese markets, I picture the old Dutch proverb about the boy who sticks his finger in the leaking hole of a dam, only to be besieged by more holes bursting through. In my analogy, the surging water represents the Chinese economy, and the dam represents the central government’s mass of…
Big Move in China's Yuan Today! Value of the Chinese currency, the yuan, against the US dollar. Source: Bloomberg Global markets woke excited today after China’s central bank surprised the world by “forcing” a 1.9% weakening of its currency. Most currencies in the world move in a relatively free fashion, i.e. without significant intervention by a country’s central bank. A 2% one-day…
