While the violent selloff in emerging market currencies has spared few, there’s one currency that has emerged from the storm unscathed: the Chinese yuan.
Over the past month, the yuan has bucked the downdraft, rising 0.3 percent against the dollar – a stark contrast from peers such as the Indian rupee and Indonesia rupiah that have fallen between 7-7.5 percent over the same period amid escalating fears around the Federal Reserve winding down its monetary stimulus.
The country’s trade surplus and improving economic data are luring investors back into the currency, as concerns of a hard landing in the world’s second largest economy fade.
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