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CURRENCIES

How strong should the yuan really be?

CHINA unexpectedly devalued its yuan in mid-August, bringing the USD/CNY rate from about 6.21 renminbi (RMB) per dollar straight up to a stabilisation point of about 6.4 RMB per dollar.

That is a 3 per cent depreciation in less than a week - a big move by forex standards.

It is