China to weaken its currency

 For the first time in a decade, its central bank (People’s Bank of China) set the midpoint of the Renminbi’s daily trading range above 7 to the American dollar. The devaluation of currency will help Chinese factories offset the higher costs of Mr. Trump’s tariffs when selling their goods to the United States. A further weakening of China’s currency to the point where it can dilute the impact of high American tariffs is also possible, according to some experts.

George Magnus, opined “if the yuan, or when the yuan, falls significantly more, we should expect more monetary easing to offset what is a deflationary impulse for a lot of Asian countries and to restore some competitiveness.”