Yuan at lowest in a decade on fears of escalation in US trade war with China
Beijing's securities regulator says it will encourage share buybacks and mergers and acquisitions by listed firms and will enhance market liquidity
London — European shares slipped back into the red and China's yuan hit a 10-year low on Tuesday, as the prospect of another escalation in the US-Sino trade war compounded the recent gloom in global markets. Asia had made modest gains overnight, thanks to hints of economic stimulus from Beijing, but Europe couldn't keep up the momentum as some disappointing company results and consumer spending data from France triggered a 0.4% drop. It came on top of reports that Washington will impose tariffs on all Chinese imports by the end of the year without progress at November’s meeting of Presidents Donald Trump and Xi Jinping. The euro struggled near a 10-week low as the dollar climbed towards a two-and-a-half-month high against a basket of the world's top six currencies. It was the 10-year low for China's yuan in Asian trading that grabbed most attention, though, as it weakened to 6.9696 per dollar, stirring speculation over whether Beijing will tolerate a slide beyond seven per dollar. "...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.