prc30 on Nostr: No question that the Chinese central bank is taking aggressive steps to keep the ...
No question that the Chinese central bank is taking aggressive steps to keep the currency, the Renminbi, hammered in place at $/7.30.
This chart shown here is the stuff of managed economies. Unclear, however, how long this will be maintained or if the PBoC ends up deciding to let the dam break.
Unlikely though as any material push through above 7.30 could result in heightened capital flight.
I do have the conviction that nothing will change in the FX pairing prior to the upcoming Chinese New Year holiday (kicking off on Jan 28th). Stability, wherever possible, is the name of the game for the very near term.
This chart shown here is the stuff of managed economies. Unclear, however, how long this will be maintained or if the PBoC ends up deciding to let the dam break.
Unlikely though as any material push through above 7.30 could result in heightened capital flight.
I do have the conviction that nothing will change in the FX pairing prior to the upcoming Chinese New Year holiday (kicking off on Jan 28th). Stability, wherever possible, is the name of the game for the very near term.