The thorny issue of China's currency

Global financial markets have recently become fixated upon currencies in general, and the outlook for one in particular, the Chinese Renminbi. But what is the outlook for this important currency, when you consider the complicated macro economic outlook for the world’s largest emerging market economy? And what are the implications of its development for the rest of the world? If you look at the chart of the Chinese currency versus the US dollar over the past few years, you could be forgiven for assuming we live in an era of economic stability. For long periods, this currency pair either f...