Close  

China lets currency sink to 11-year low after Trump threats

/ 03:16 PM August 26, 2019
Trade war tensions ease a bit as China stabilizes currency

A bank employee counts U.S. dollar banknotes next to a stack of 100 Chinese yuan notes at a bank outlet in Hai’an in eastern China’s Jiangsu province, Tuesday, Aug. 6, 2019. (Chinatopix via AP)

BEIJING — China has allowed its yuan to sink to an 11-year low against the dollar after President Donald Trump threatened to block American companies from doing business with this country.

The yuan declined Monday to 7.1468 to the dollar, its weakest rate since January 2008.

ADVERTISEMENT

Chinese leaders have promised to avoid “competitive devaluation” to hold down export prices in the face of Trump’s tariff hikes. But regulators are trying to make the state-controlled exchange more market oriented, and investor jitters about the tariff war are pushing the yuan lower.

Trump said Friday he was ordering American companies to stop dealing with China. He said later he was threatening to use emergency powers under a 1977 law that targets rogue regimes, terrorists and drug traffickers.

FEATURED STORIES

Read Next
LATEST STORIES
MOST READ
Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: China, devaluation, tariff, US-China trade conflict
For feedback, complaints, or inquiries, contact us.


© Copyright 1997-2019 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.