The Chinese renminbi was weaker against the dollar. On-shore Chinese yuan traded at 6.89, falling from levels below 6.80 before the U.S. election results, while the off-shore yuan traded at 6.90.
“A toxic combination of steeper U.S. yield curve, along with the ever-present discussion of a trade war with the U.S., dominates the current currency landscape, which favors a weaker yuan,” said Stephen Innes, a senior trader at OANDA.
Innes added worries over asset bubbles in the mainland and uncertainty over China’s growth trajectory will exacerbate the weakness in the currency.
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