Donald Trump Accuses China of Currency Manipulation as Yuan Plunges
The Chinese government allowed the tightly controlled yuan to fall to the lowest level in a decade after the U.S. imposed tariffs.
Peoples’ Bank of China
World View: Israel and Turkey Announcing a Reconciliation Agreement on Monday
Contents: Nationalistic tensions increase as UK and EU drift towards Brexit; Japan’s government calls emergency meeting as yen surges after Brexit; Israel and Turkey announcing a reconciliation agreement on Monday
World View: Fallout from Brexit: Impact on Geopolitics, Economics, and Stock Markets
Contents: Successful ‘Brexit’ referendum vote throws UK and EU into political chaos; Global stock markets plummet after Brexit surprise
China Devalues Yuan as Stocks Crash
With China devaluing its currency, stocks crashing 3 percent and capital flight accelerating, China has cut bank its bank reserve requirements to free up $100 billion in credit.
World View: Monday’s Stock Market Rout Blamed on China’s Foreign Currency Selloffs
Contents: Bangladesh covers up Tibetan art after China threat; Desperate China official rapidly selling of foreign currency reserves; Monday’s stock market plunge blamed on China and on weak earnings; Hong Kong experiences worst violence in years
China’s Role as Reserve Currency to Raise Interest Rates
In approving the Chinese yuan as a 10.92 percent participant as a reserve currency in the global basket, the International Monetary Fund (IMF) warned that China’s inclusion could push up interest rates.
World View: Global Trade Plunges as China’s Economy Becomes Deflationary
Contents: Price/earnings index surges as earnings and profits contract; China’s import and export trade volumes plummet as deflation takes hold
China Only Has 2 Years of Currency Reserves
With China’s foreign exchange reserves falling by $490 billion in the last twelve months, China is on pace to run out of currency reserves in just two years.
China, in Freefall, Devalues Its Currency the Yuan Again
The People’s Bank of China (PBoC) weakened the yuan against the dollar for a third consecutive day on Thursday, following reports the central bank intervened to stem the currency’s sharp slide late on Wednesday.
China Contagion: Hong Kong Growth Stock Index Plunges 13%
Despite suspending trading in over 1300 of the 2800 stocks listed in China, the “Shanghai Stock Exchange B Share Index” of growth stocks suffered another 7 percent loss Tuesday and the neighboring Hong Kong ‘S&P Growth Enterprise Market Index’ plunged by 12 percent. With Chinese stock losses now over $3.5 trillion since June 12, contagious fear is sending every major stock exchange around the world tumbling.
Barclays Bank Says China Capital Flight Twice as Big as Russia’s
Barclay’s Bank estimates that despite a hot stock market, the China suffered $300 billion in capital flight and is facing its first foreign exchange liquidity crisis since 2000. The news follows a report that China’s GDP is experiencing negative growth in real terms, thanks to collapsing domestic demand.