'Beggar thy neighbour' devaluations unlikely: analysts

Tokyo

DEVALUATION of the Chinese yuan is "unlikely to mark the start of competitive currency devaluations in Asia", according to veteran financial analyst Jesper Koll, who has added his voice to those calling for a more rational appraisal of China's move than markets demonstrated last week.

"The move was clearly forced by real economic forces, but I do not believe this is the start of an imminent series of future devaluations from China," says Mr Koll, former chief strategist at JPMorgan in Tokyo and now CEO at asset management group WisdomTree in Japan.

Last week's decision by the People's Bank of China (PBOC) provoked alarm in currency markets, where it was seen as heralding a seri…