Why China needs to let the renminbi rise
A steady appreciation would boost domestic consumption and improve trade relations
A steady appreciation would boost domestic consumption and improve trade relations

Appreciation would suit Beijing’s global ambitions for the currency

If renminbi settlement becomes cheaper and more trade migrates, firms will have less need to generate or hold US currency

PBoC makes it cheaper for traders to bet on weakening currency amid concerns about rapid appreciation

Central bank fixes currency at highest level against dollar in 15 months

Chamber of commerce warns that fall of tightly managed Chinese currency risks prompting trade retaliation

Critics say currency is undervalued and being used to subsidise Chinese exports