by Graham Summers
China’s currency, the Chinese Yuan, remains pegged to the US Dollar. So when the US Dollar strengthens, the Chinese Yuan strengthens to.
For an economy as rife with garbage debt as China (shadow banking debt is over 200% of GDP), this is a DISASTER.
With that in mind, consider that the US Dollar is now at 99.
[…] Whenever the US Dollar reaches these heights, China fires a warning shot at the Federal Reserve by aggressively devaluing the Yuan.