China's Industrial Bank Says It Cuts Yuan Deposit Rates
Portfolio Pulse from Happy Mohamed
China's Industrial Bank has announced a cut in yuan deposit rates. This move could potentially impact the value of the yuan and related assets.
August 31, 2023 | 2:53 pm
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The cut in yuan deposit rates by China's Industrial Bank may impact the value of the yuan and related assets, including the iShares China Large-Cap ETF (FXI).
The cut in yuan deposit rates by China's Industrial Bank could lead to a decrease in the value of the yuan. This could potentially impact the value of assets related to the yuan, including the iShares China Large-Cap ETF (FXI), which tracks the performance of large-cap Chinese equities traded on the Hong Kong Stock Exchange. A weaker yuan could make these equities less attractive to investors, potentially leading to a decrease in the value of FXI.
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