Remember the dollar?
and his colleagues at the Federal Reserve generally prefer to forget about it, but other countries don’t have that luxury. Witness the growing problems created by a strengthening Chinese yuan—or, rather, a weakening dollar.
The yuan this week hit a three-year high versus the dollar, at around 6.38. This caps a year of steady yuan appreciation and is prompting Beijing to act to manage the exchange rate before China’s currency strengthens further.