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Strategies & Market Trends : Asia Forum -- Ignore unavailable to you. Want to Upgrade?


To: Mohan Marette who wrote (779)1/13/1998 6:58:00 PM
From: Stitch  Read Replies (2) | Respond to of 9980
 
Mohan;

I agree that China will have to devaluate the Yuan in order to remain competitive with other SEA currencies and the result on exports. One thing we all seem to forget in our musings here is that Asian goods are going to be staggeringly cheaper in the coming months. And China has a special imperative to be competitive as they have just cut loose so many formerly state owned enterprises. Their first infant steps will falter if they suddenly must compete with much stronger SEA competitors where commercial freedom has been in existence for some time.

Best,
Stitch