Subscribe for notification
Business

Chinese Yuan Rises by 14.7% Versus USD

The Chinese Yuan rises by 14% against the US dollar for the first time since 2005 after the dollar fell recently.

As of May 2024, the Chinese yuan has depreciated against the U.S. dollar by approximately 1.9% on the year. Nevertheless, the yuan witnessed a marginal increase this week due to the USD’s decline following the publication of CPI data. The 4% decline in retail sales led traders to anticipate that the Federal Reserve would reduce interest rates once more.

Chinese Yuan Rises by 14.7% Versus USD

The DXY index gauges the performance of the U.S. dollar, which indicates that the currency declined to 104.22 on Thursday. The decline from a peak of 107.10 this year to 104.22 within a month is substantial. This week, leading local currencies, such as the Chinese yuan, momentarily recovered as the U.S. dollar weakened.

Furthermore, employment data from the United States indicates a contraction, as employers generated 173,000 new positions in April 2024, which falls short of the anticipated mean of 243,000. As a result of these developments, the USD is depreciated, propelling local currencies higher in the indices. The USD is experiencing downward pressure on the charts due to several contributing factors.

The Chinese Yuan has risen 14.70% against the U.S. Dollar since 2005

Chinese Yuan Rises by 14.7% Versus USD

The Chinese yuan has consistently challenged the U.S. dollar since 2005 despite its current year-over-year depreciation. Since the Chinese economy began exporting and manufacturing inexpensive products globally, the yuan has gained prominence on the international stage.

According to the most recent data, the Chinese yuan has appreciated by an astounding 14.70% against the U.S. dollar since 2005 —an annual growth rate of approximately 1.29% over the past nineteen years. The yuan has risen against the USD in the foreign exchange market consistently and sustainably.

The long-term objective of the Chinese yuan is to surpass the value of the U.S. dollar within the next few decades. However, the efficacy of the proposed measures to stimulate the yuan remains to be seen; only time will tell.

Edwin Aboyi

Edwin Aboyi is a product designer, writer, and illustrator with a degree in Biological Sciences from the University of Abuja. Passionate about merging technology with creativity, Edwin contributes to Protechbro.com by offering fresh perspectives on AI, Web3, and blockchain

Disqus Comments Loading...

Recent Posts

Kevin Warsh- Treasury Secretary, Succeed Fed Chair Powell

Donald Trump is considering Kevin Warsh for Treasury Secretary and to succeed Jerome Powell as Fed Chair when his term…

2 hours ago

Upbit Refunds Millions After Crypto Hack

Upbit refunded 8.5 billion won to 380 voice phishing victims, as authorities expose North Korea's involvement in previous hacks. Upbit,…

3 hours ago

Charles Schwab CEO Regrets Not Investing In Crypto

Rick Wurster, set to become CEO next year, stated he has no plans to buy crypto but aims to support…

3 hours ago

Federal Task Force Busts Cartel-Linked Crypto Laundering Ring

Nine individuals were charged with laundering U.S. drug proceeds into cryptocurrency for Mexican and Colombian cartels from 2020 to 2023.…

5 hours ago

Truemarkets Raises $4M in NFT Sale, Vitalik Buterin Purchases 400 NFTs

Truemarkets raised over $4M by selling 15,071 NFTs at $250 each. Vitalik Buterin bought 400 NFTs worth $107K in the…

5 hours ago

Apple Acknowledges Security Flaw Exposing Crypto Users—Here’s What to Do

Apple acknowledged on Monday that its devices were susceptible to an exploit that enabled the execution of remote malicious code…

6 hours ago