YUAN FALLS TO 1-WEEK LOW
Shanghai: China’s yuan weakened to one-week low against the dollar on Wednesday as traders waited to see if the results of US midterm elections altered the course of the strong dollar or president Donald Trump’s aggressive trade policies. As expected, Trump and his fellow Republicans looked set to keep their majority in the US Senate but lose control of the House of Representatives, following a divisive campaign.
The dollar seesawed as the results trickled in, with a split Congress and the possiblity of legislative deadlock expected to hurt the greenback temporarily. However, on trade policy Trump still has ample latitude without needing approval from Congress. In the spot market, the onshore yuan opened at 6.9248 per dollar and fell to a low of 6.9432 at one point, the weakest level since November 1.