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Full Version: Renminbi- Safer That Chf?
House Price Crash forum > House Prices > Economics
thirdwave
Experts are in broad agreement that the Renminbi is significantly undervalued against most major currencies, as its pegged to a basket of currencies dominated by the USD. ATM the Chinese are reluctant to let it float as a strong RMB would make Chinese exports dearer but the USD peg must be driving inflation through the roof. At some point they'd get tired of importing someone else's inflation & remove the peg, sending the RMB into orbit. The Chinese economy has a lot going for it,unlike the Swiss with its overreliance on financial services. So all you CHF fans, should you not be learning Chinese & hoarding RMBs?

http://www.iht.com/articles/2007/10/24/business/sxasia.php

Jason
I think they will just keep re-evaluating the peg every now and again, rather lose it totally.
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