StanChart's Narayanan Sees Yuan Moving Closer to 7 Per U.S. Dollar

The video discusses the debate over China's currency manipulation, market trends, and economic predictions. It covers the impact of the currency basket on the economy, the focus on domestic demand, and the use of growth tools. The discussion extends to monetary and fiscal policies, credit growth, and financial stability risks, concluding with an overview of potential risks.

What is the main argument of the U.S. regarding China's currency practices?

• China is allowing the yuan to strengthen.

• China is strengthening the yuan to counter tariffs.

• China is manipulating its currency to weaken the yuan.

• China is not involved in any currency manipulation.

Why is the yuan's value in a basket of currencies significant?

• It is used to measure China's GDP growth.

• It indicates the yuan's value against the dollar only.

• It reflects the yuan's overall market value.

• It shows the yuan's strength against the euro.

What has been China's focus in terms of domestic economic policy?

• Focusing on domestic demand and growth.

• Increasing exports to the U.S.

• Strengthening the yuan against the dollar.

• Reducing fiscal spending.

What is the current stance of China's monetary policy?

• Maintaining a tight monetary policy.

• Adopting a more neutral monetary policy.

• Significantly easing monetary policy.

• Focusing solely on fiscal policy.

What is a major risk to China's economy according to the discussion?

• Over-reliance on exports.

• Uncertainties in the financial system.

• Lack of foreign investment.

• High inflation rates.

How is China managing its credit growth?

• By reducing all forms of credit.

• By allowing steady credit growth while focusing on deleveraging.

• By maintaining a tight credit policy.

• By significantly increasing shadow banking.

What is the theme for China's economic outlook this year?

• Strengthening the yuan at all costs.

• Focus on international trade.

• Beware of the dog, indicating caution amidst growth.

• Rapid economic expansion.