The Link Between China, The Yuan and Commodities

China , Commodities Jun 21, 2010 No Comments

Interesting analysis here:

A lot of the immediate impact of China’s decision to allow its currency to float higher is being felt by commodities and commodity producers – as in, they’re going up.

Pierre Lapointe, global macro strategist at Brockhouse Cooper, noted that commodities are actually one of the reasons for China making the decision in the first place. Chinese consumer prices are above the target range, but producer prices look even worse: They have surged 7.1% over the past 12 months, mostly because of higher commodity prices.

via The Link Between China, The Yuan and Commodities — Seeking Alpha.

Ethan Davis

Ethan is an IT expert with a very strong mathematics background. He is the architect behind Propurchaser’s more sophisticated tools, including Modeling Selling Prices and Carbon Footprinting. He is a co-founder of Wifidelity Inc.

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