There Are a Lot of Headwinds Against the Yuan: Chan

The video discusses the ongoing depreciation pressure on China's currency, highlighting the macro and global headwinds contributing to this trend. It examines historical measures China has used to counteract depreciation and questions their effectiveness. The discussion suggests that fundamental changes, such as a positive shift in China's macro outlook or changes in the dollar backdrop, are necessary. The video also explores potential solutions and market expectations, emphasizing that current tools may not be sufficient to change the trend. Finally, it addresses the implications of capital control and market volatility, suggesting a multi-pronged approach to allow some currency weakening.

What concerns does the speaker express regarding controlling capital flows in and out of China?

According to the speaker, what is the current state of market volatility and capital outflows?