China Business News carries a story written by the former People’s Bank of China (PBOC) official Sheng Songcheng, as he speaks about the exchange rate level.
Main Points:
“China should not allow Yuan weaker than 7.”
“The Yuan falling through 7 may shake the confidence of markets.”
“Increase pressures on capital outflows.”
“Devaluing the Yuan has only a small positive impact on trade.”