12 Aug 2015

Renminbi plummets to four-year low

4:22 pm on 12 August 2015

China has cut the value of the yuan against the dollar for a second day running and it is now at a four-year low.

Spot yuan fell from 6.39 per US dollar yesterday to just 6.43, its weakest point since August 2011.

The central bank, which had described the devaluations as a one-off step to make the yuan more responsive to market forces, sought to reassure financial markets that it was not embarking on a steady depreciation.

However, the moves have sparked fears of a global currency war and raised concerns that Beijing is looking to support its struggling exporters.

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