Washington's use of the dollar as a political tool is backfiring as more and more countries are reducing their holdings of the greenback and switching to other currencies in trade contracts, Russian President Vladimir Putin said on Wednesday.
China's yuan slumped to a fresh 11-year low against the dollar on Monday and stocks fell as the Sino-US trade war sharply escalated, threatening to inflict more damage on the world's largest economies and weigh further on global growth.
The Chinese yuan fell to its lowest level against the dollar since August 2010 in morning trade on Monday, fueling speculation that Beijing is allowing currency depreciation to counter threatened US tariffs.
China’s banking and insurance regulator on Saturday said it did not expect a persistent decline in the yuan and warned speculative short sellers they would suffer ‘heavy losses’ if they bet against the currency.
China should not allow the yuan to fall below seven per dollar or attempts to stabilize the currency will become more costly on the country’s foreign exchange reserves, Sheng Songcheng, an adviser to the People’s Bank of China, said on Saturday.
Iran has removed the US Dollar from its official currency rate reporting platform and replaced it with China’s Yuan in an effort that the media in Tehran say could be a key step toward ditching the greenback in trade.
China's banks extended a record 2.9 trillion yuan (£331.48 billion) in new yuan loans in January, blowing past expectations and nearly five times the previous month as policymakers aim to sustain solid economic growth while reining in debt risks.
Singapore investment firm New Silkroutes Group Ltd. is set to launch two new China-focused funds worth $1.6 billion in total and is looking to expand its oil trading business with Chinese customers following a restructure.
The Chinese yuan has overtaken the Mexican peso as the most actively traded emerging market currency, reflecting China's growing influence on the global economy, a survey of the foreign exchange industry showed.