Deconstructing Currency Sensitivity: Key Strategies for G10 Currencies in Response to CNY Movements

Tuesday, 26 March 2024, 18:28

Bank of America examines the impact of Chinese Yuan (CNY) movements on G10 currencies, highlighting the vulnerability of AUD and NZD, the unique position of JPY, and the stability of EUR. The analysis offers valuable insights for investors navigating CNY trends.
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Deconstructing Currency Sensitivity: Key Strategies for G10 Currencies in Response to CNY Movements

Sensitive Currencies

The Australian Dollar (AUD) and New Zealand Dollar (NZD) consistently display the highest sensitivity to CNY depreciation across various periods.

JPY's Recent Sensitivity

The Japanese Yen (JPY) shows increased sensitivity influenced by carry trade flows during recent periods.

EUR's Stability

The Euro (EUR) demonstrates weak correlation with CNY movements, suggesting resilience in face of CNY depreciation.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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