The U.S. dollar dropped Monday as a sharp rally in the Taiwan dollar sparked speculation that Asian central banks may be engineering currency revaluations to gain leverage in U.S. trade negotiations. According to Reuters, the Taiwan dollar surged over 3%, adding to a record 4.4% gain on Friday, nearing three-year highs. A senior financial executive in Taipei told Reuters the pace of appreciation is unprecedented, fueled by inflows and possibly U.S. pressure. Asia-Pacific currencies strengthened, with the yen up 0.44% against the dollar and the Australian dollar up 0.4%. China’s offshore yuan hit a six-month high as investors speculated Beijing may allow currency appreciation to support trade negotiations, though talks with the U.S. remain stalled.
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00:00It's Benzinga bringing Wall Street to Main Street.
00:02U.S. dollar dropped Monday. A sharp rally in the Taiwan dollar sparked speculation
00:06that Asian central banks may be engineering currency revelations
00:10to gain leverage in the U.S. trade negotiations.
00:12According to Reuters, the Taiwan dollar surged over 3%,
00:16adding to a record 4.4% gain on Friday.
00:19Nearing three-year highs, a senior financial executive in Taipei told Reuters
00:23that the pace of appreciation is unprecedented.
00:26Fueled by inflows and possible U.S. pressure, Asia-Pacific currency strengthened
00:31with the yen up 0.44% against the U.S. dollar and the Australian dollar up 0.4%.
00:37China's offshore run hit a six-month high as investors speculated Beijing
00:42may allow currency appreciation to support trade negotiations through talks.
00:46The U.S. remained stalled.
00:48For all things money, visit Benzinga.com slash GSTV.