- Analytics
- News and Tools
- Market News
- USD/CNY: Yuan-pessimistic view gains adepts – Commerzbank
USD/CNY: Yuan-pessimistic view gains adepts – Commerzbank
Economists at Commerzbank note the increasing perception that investments in China are under pressure due to factors that were perceived as less relevant in the past. Thus, bearish pressure is starting to mount around the Chinese yuan.
CNY-pessimism
“In a world in which households are increasingly considering ethical criteria for their consumption and investment decision the difference between the political systems of the West and the one in China constitutes an increasing reputational risk for Western companies and institutional investors.”
“I get the impression that recently autocratic regimes are being seen as a governance risk.”
“The covid strategy of the Chinese regime illustrates that those who thought that Chinese policy was focussed on high growth as its ultimate goal were wrong. The logical conclusion is likely to be that growth is always merely an interim goal for the Chinese leadership. An investment and growth supporting policy can only be expected for as long as it supports other aims.”
“So far, free-flowing export revenue is supporting CNY. If that eases, once global demand for durable goods normalises, or when the West slides into a recession, the renminbi is likely to get under increasing pressure.”
© 2000-2025. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
