Currencies: Here’s why a further drop in China’s yuan could lead to another round of shockwaves in markets

25 April 2022

China’s onshore yuan fell to its lowest level in more than two years on Monday amid fears of a citywide lockdown in Beijing, and a continued decline in the Asian currency could potentially trigger more shockwaves across financial markets. The onshore yuan CNYUSD, -0.88% USDCNY, +0.89% , which trades within mainland China, fell 0.9% to trade around 6.55 per dollar — on its way to its biggest one-day drop since March 12, 2020, according to Tullett Prebon.