US says China not currency manipulator

The US Treasury ruled Tuesday that China does not manipulate its currency, but said nevertheless that the renminbi remains undervalued.

In a twice-yearly finding to answer congressional critics of China's overwhelming bilateral trade advantage, the Treasury said Beijing did not meet the definition of a currency manipulator under US law, which could spark US trade sanctions.

The Treasury argued that China knows that an appreciating currency is in its own interest, and said the renminbi (RMB), also called the yuan, gained 9.3 percent against the dollar between June 2010 and November 2012.

Measuring the real effective exchange rate -- which weighs China's cost-competitiveness relative to its trade partners -- the Treasury said the renminbi gained 6.2 percent in 2011, and was flat this year, but was up 27 percent since mid-2005.

Nevertheless, it said, based on Beijing's huge stock of foreign reserves and its strong trade surplus, the renminbi's appreciation has been "insufficient."

Those and other factors "suggest that the real exchange rate of the RMB remains significantly undervalued and further appreciation of the RMB against the dollar and other major currencies is warranted."

After hitting a year low in July of around RMB 6.39 per dollar, the currency has steadily climbed in recent weeks to hit a fresh record high of RMB 6.22 per dollar on Monday.

Loading...
 
Recent Quotes
Symbol Price Change % Chg 
Your most recently viewed tickers will automatically show up here if you type a ticker in the "Enter symbol/company" at the bottom of this module.
You need to enable your browser cookies to view your most recent quotes.
 
Sign-in to view quotes in your portfolios.

Market Data

  • Currencies
    Currencies
    NamePriceChange% Chg
    1.2553-0.0001-0.01%
    USDSGD=X
    1.7345-0.0002-0.01%
    EURSGD=X
    2.1064-0.0002-0.01%
    GBPSGD=X
    81.6610-0.0128-0.02%
    SGDJPY=X
    6.1762+0.0006+0.01%
    SGDHKD=X
    2.6014+0.0002+0.01%
    SGDMYR=X
    9,264.6816-35.0029-0.38%
    SGDIDR=X
    4.9692+0.0005+0.01%
    SGDCNY=X
    1.1656-0.0003-0.03%
    AUDSGD=X
  • Commodities
    Commodities
    NamePriceChange% Chg
    1,283.30-1.30-0.10%
    GCM14.CMX
    19.440.00+0.01%
    SIK14.CMX
    92.88+1.82+2.00%
    ^XAU
    3.060.00-0.05%
    HGK14.CMX
    101.55-0.20-0.20%
    CLM14.NYM
  • Bonds
    Bonds
    TreasuryYield (%)Yield Change
    1.71-0.03
    ^FVX
    2.69-0.04
    ^TNX
    3.47-0.03
    ^TYX

MARKET MOVERS

  • Most Actives
    Most Actives
    NamePriceChange% Chg
    0.122+0.002+1.67%
    B22.SI
    0.61+0.005+0.83%
    E5H.SI
    2.22+0.010+0.45%
    JS8.SI
    0.16+0.002+1.27%
    5GB.SI
    0.142-0.003-2.07%
    545.SI
  • % Gainers
    % Gainers
    NamePriceChange% Chg
    0.23+0.031+15.58%
    5UZ.SI
    0.22+0.020+10.00%
    D6U.SI
    0.184+0.014+8.24%
    5WD.SI
    0.275+0.020+7.84%
    5TP.SI
    0.161+0.011+7.33%
    A03.SI
  • % Losers
    % Losers
    NamePriceChange% Chg
    0.245-0.055-18.33%
    T18.SI
    0.196-0.024-10.91%
    5WR.SI
    0.161-0.019-10.56%
    T16.SI
    0.36-0.040-10.00%
    S24.SI
    0.098-0.010-9.26%
    C11.SI