The Chinese RMB exchange rate to the euro has broken the 9 to 1 benchmark again as a result of EU central bank rate cuts.
On the last trading day this week, the mid-point of the RMB settled at just over 8.99 against the euro and just over 10.03 against the British pound.
The RMB exchange rate against the US dollar stayed stable nearly 6.84. The RMB exchange rate against the euro has accelerated as a result of recent signs of recession in the euro zone economy. The EU central bank has cut the benchmark interest by 50 basis points to 2 percent the lowest level in history. And the central bank governor says there may be FURTHER cuts in the next two months.
(CCTV January 19, 2009)
