5 ms·
CNYEUR (euro per cny) exchange rate past 60 months: ++-------+------+-------+------+-------+------+--+ 0.15 +
by vegabook 11y ago
CNYEUR (euro per cny) exchange rate past 60 months:
++-------+------+-------+------+-------+------+--+
0.15 + ** +
| * |
| *** |
| ** |
0.14 + +
| |
| |
| * |
0.13 + ** +
| * * |
| *** * * |
| * ** * * * |
| * ** *** * * |
0.12 + * ** * * ** +
| * * *** |
| * |
| ** * |
0.11 + * * * +
| * * *** |
| * |
++-------+------+-------+------+-------+------+--+
0 10 20 30 40 50 60
Against the euro, the CNY has appreciated by about 20% in the past 12 months, so any deval is as much about dollar strength (against which the CNY is semi-pegged). Europe has been devaluing through it's own QE and it buys about 20% of Chinese exports roughly. The same picture is more or less true of all the emerging markets that China exports to. Thus it's pretty much a rebalancing than anything else, and let's not forget it's only 2% (so far). Perhaps the most interesting chart is China's fiercest competitor, Japan. The yen is down more than 50% against the yuan in the past 2 years:
CNYJPY past 60 months:
+-+------+-------+-------+------+-------+-------+--+
20 + * * +
| * * |
| * ** |
| * |
| * |
18 + * +
| * |
| * |
| * ** * |
16 + ***** *** +
| * |
| * |
| * |
| * |
14 + * +
| |
| * * |
| * * * * |
| ** ****** *** **** |
12 + * ** * +
+-+------+-------+-------+------+-------+-------+--+
0 10 20 30 40 50 60
- achamayou 11y agoThe JPY is down against pretty much everything else due to some of the most aggressive QE ever seen though.
- brobinson 11y agoWhat did you use to create these charts? I like them.
- vegabook 11y agoR package txtplot.
- zhte415 11y agoNice ASCII. But surely this is a function of USD vs other currencies, as CNY is mainly fixed against USD.
- vegabook 11y agoAbsolutely. But with the current peg, where USD goes so the CNY goes. Given that only 20% of Chinese exports are to America, China is becoming uncompetitive on its trade-weighted basket and must adjust in the same direction as other currencies, that is, weaker vs USD.