Ben Bernake(!) Explains Why China's Yuan Is Crashing

By Jeffrey P. Snider of Eurodollar University

Chief Investment Strategist • Jun 21, 2023 at 7:26 PM EDT

If China is killing the dollar, why is it yuan going down hard? A simple equation.

U.S. dollar banknote with map

Image Source: Unsplash

China's yuan keeps plummeting to new lows as deflation and recession collide in a growing global dollar shortage. Yet, Jay Powell tells Congress he's more worried about inflation even though this key money signal is one among many against it. A recent paper by Ben Bernanke actually describes the mainstream problem - in the process inadvertently explaining why Powell is so off.

Video Length: 00:18:55

More By This Author:

Ignore The Noise Don't Miss This Signal
Helpless China Warns About 'Changing Economic Landscape'
Great Inflation Infatuation

Disclosure:

This material has been distributed for informational purposes only. It is the opinion of the author and should not be considered as investment advice or a recommendation of any particular security, strategy, or investment product. Investments involve risk and you can lose money. Past investing and economic performance is not indicative of future performance. Alhambra Investment Partners, LLC expressly disclaims all liability in respect to actions taken based on all of the information in this writing. If an investor does not understand the risks associated with certain securities, he/she should seek the advice of an independent adviser.

Click here to sign up for our free weekly e-newsletter.