Banque Lombard's Gkionakis on China's Tech Clampdown

The transcript discusses the volatility in the FX market, particularly concerning the yuan, and the psychological impact of breaking certain levels. It explores the potential regulatory impacts on currency, emphasizing that these are likely to be sector-specific rather than systemic. The discussion includes global factors such as the Fed's actions and their influence on the currency market. The potential for PBOC intervention and market opportunities arising from currency movements are also examined. Finally, the transcript highlights the importance of economic indicators and their correlation with the FX market.

What psychological level was broken in the FX market concerning the Chinese yuan?

• 6.50

• 6.00

• 7.50

• 7.00

What is the expected impact on the yuan if the regulatory approach is targeted rather than systematic?

• Severe and long-lasting

• Modest and short-lived

• Immediate devaluation

• No impact

What is the outlook for global trade in the second half of the year?

• Rising solidly

• Stagnant

• Uncertain

• Declining

How has China's current account balance changed recently?

• Fluctuated unpredictably

• Remained stable

• Deteriorated significantly

• Improved substantially

What is the correlation between China's current account balance and the yuan over long periods?

• Negative and volatile

• Weak and inconsistent

• Strong and positive

• Non-existent