weaker USD + FED rate cuts & QE allow China to print Yuan/renminbi without a capital runoff easing monetary conditions in the US means more capital in circulation globally - not just in PRC thus, relative inflation is kept under more control 🇨🇳🇺🇸 china’s CPI is below US's ⬇️

Illya Gerasymchuk 2025-07-10 08:54

🇨🇳 china’s central bank uses USD value as a key driver in economic policies the monetary easing policy is adjusted by PBoC based on the dollar’s trend - up or down weaker USD + expected liquidity USD injections = Yuan/renminbi injections