China’s depreciating yuan against the US dollar is music to the ears of Hong Kong shoppers heading over the border, but economists have warned that the move will exacerbate the downturn in the city’s retail, food and drink consumption and hammer the economy. The People’s Bank of China allowed the yuan to further weaken against…
Hong Kong’s currency has strengthened to its strongest level in four years against the US dollar, driven by the demand from mainland China’s stock buyers who are dipping into one of the world’s cheapest major capital markets through the Stock Connect scheme. The local dollar changed hands at 7.7595 for every US$1 on Thursday morning,…
Catch up on some of SCMP’s biggest China stories of the day. If you would like to see more of our reporting, please consider subscribing. 1. China to strengthen strategic ties with neighbours, Xi Jinping says Chinese President Xi Jinping has pledged to strengthen strategic bonds with neighbouring nations by “appropriately” managing differences and enhanced…
Hong Kong faces an unprecedented opportunity as an offshore hub for the currency, despite what is broadly seen as short-term pressure on the yuan, according to investment bank China International Capital Corporation (CICC). In the past, depreciation was largely driven by a wide interest rate differential between the US dollar and the yuan, which prompted…
On Thursday, 200 Chinese nationals rescued from online scam centres in Myanmar were repatriated to China, while hundreds more are expected to arrive in China in the coming days, according to Beijing’s Ministry of Public Security. The repatriation operation came after a flurry of visits to Thailand and Myanmar by Liu Zhongyi, China’s assistant minister…
Catch up on some of SCMP’s biggest China and economy stories of the day. If you would like to see more of our reporting, please consider subscribing. 1. China’s central bank vows to enhance yuan amid risks from strong US dollar China’s central bank has pledged to advance the cross-border use of the yuan and…
President Xi Jinping has reiterated his view of China’s inevitable rise – a belief that continues to drive policymaking at the highest level – at a closely watched symposium with prominent entrepreneurs, held to boost private-sector morale and shore up economic momentum. He told the assembled business leaders on Monday that the East still holds…
US Treasury Secretary Scott Bessent said he will hold his first introductory call with his Chinese counterpart on Friday, and reiterated longstanding US calls for its biggest geostrategic rival to rebalance its economy toward domestic consumption. “I do have my first call with my Chinese counterpart tomorrow morning, so I look forward to a very…
Hong Kong is expected to play a bigger role in the internationalisation of the yuan as liquidity increases and uses for businesses and individuals broaden significantly, according to officials and market participants. The city was already the world’s biggest offshore yuan business centre, with the largest offshore liquidity pool, foreign-exchange market and over-the-counter market for…
The People’s Bank of China (PBOC) said it would tender central bank bills totalling 60 billion yuan (US$8.2 billion) in Hong Kong on Friday, marking the second time this year it has used the policy tool to stabilise the yuan amid tariff tensions with the US. The PBOC said it would tender 40 billion yuan…