China may release Yuan-Dollar peg
A US Treasury Department representative said that China decided to release the Yuan-US Dollar peg. It is reported that Chinese government will move to a flexible exchange rate regime. However, after this statement, Chinese Central Bank stated that they are going to continue to implement their Yuan exchange rate policy for now. Central Bank officials pointed out that it is not the right time to implement a flexible exchange rate regime. The Yuan-Dollar peg was set at 8.28 Yuan to the US Dollar in 1994.