People walk in Shanghai’s main pedestrian street. Under the “dual circulation” economic model, China will rely more heavily on domestic consumption. Photo: EPA-EFE People walk in Shanghai’s main pedestrian street. Under the “dual circulation” economic model, China will rely more heavily on domestic consumption. Photo: EPA-EFE
People walk in Shanghai’s main pedestrian street. Under the “dual circulation” economic model, China will rely more heavily on domestic consumption. Photo: EPA-EFE
Neal Kimberley
Opinion

Opinion

Macroscope by Neal Kimberley

‘Dual circulation’ and US-China decoupling are two reasons to strengthen the yuan

  • Decoupling aimed at driving down US demand for Chinese goods will mean less pressure on the yuan to remain competitive against the dollar
  • China’s latest economic plan will also require a lot of raw materials priced in US dollars, which means they will be cheaper if the Chinese currency is stronger

Neal Kimberley
Neal Kimberley

Updated: 10:40pm, 15 Sep, 2020

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People walk in Shanghai’s main pedestrian street. Under the “dual circulation” economic model, China will rely more heavily on domestic consumption. Photo: EPA-EFE People walk in Shanghai’s main pedestrian street. Under the “dual circulation” economic model, China will rely more heavily on domestic consumption. Photo: EPA-EFE
People walk in Shanghai’s main pedestrian street. Under the “dual circulation” economic model, China will rely more heavily on domestic consumption. Photo: EPA-EFE
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Neal Kimberley

Neal Kimberley

UK-based Neal Kimberley has been active in the financial markets since 1985. Having worked in sales and trading in the dealing rooms of major banks in London for many years, he moved to ThomsonReuters in 2009 to provide market analysis. He has been contributing to the Post since 2015 and writes about macroeconomics from a market perspective, with a particular emphasis on currencies and interest rates.