{"id":527651,"date":"2010-04-14T14:38:12","date_gmt":"2010-04-14T18:38:12","guid":{"rendered":"http:\/\/www.businessinsider.com\/morgan-stanley-yuan-revaluation-dollar-2010-4"},"modified":"2010-04-14T14:38:12","modified_gmt":"2010-04-14T18:38:12","slug":"morgan-stanley-here-are-the-big-winners-in-a-yuan-revaluation","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/527651","title":{"rendered":"Morgan Stanley: Here Are The Big Winners In A Yuan Revaluation"},"content":{"rendered":"<p>Morgan Stanley is 80% certain that the yuan revaluation is going to happen.<\/p>\n<p>In the short term, the currency is destined for a 2-3% appreciation against the dollar. After that, Morgan Stanley also predicts a further gradual appreciation throughout the rest of 2010, which will result is a year net appreciation of 4-5% against the U.S. dollar.<\/p>\n<p>Big winners from this appreciation exist beyond U.S. exporters:<\/p>\n<ul>\n<li>Currencies that have followed similar paths to the yuan&#8217;s are now likely to also appreciate against the dollar, which will make <strong>U.S. exporters<\/strong> an even bigger winner than expected.<\/li>\n<\/ul>\n<ul>\n<li>Also, countries with currencies closely tied to commodities, such as <strong>Brazil and Russia<\/strong>, are likely to see price benefits from the move.<\/li>\n<\/ul>\n<ul>\n<li>If the country is a big exporter to China, like <strong>Brazil and South Africa<\/strong>, they are likely to see currency gains as a result of the revaluation.<\/li>\n<\/ul>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/static.businessinsider.com\/image\/4bc608ce7f8b9a2b36430500-400-300\/em-exports-to-china.jpg\" border=\"0\" alt=\"EM Exports To China\" width=\"400\" height=\"300\" \/><\/p>\n<ul>\n<li><strong>Mexico and its currency<\/strong> is likely to see a boost from China&#8217;s revaluation as well, because it will make its goods more competitive in the American market and its currency stronger as a result.<\/li>\n<\/ul>\n<p>Morgan Stanley sees the possibility of three further scenarios at much lower levels:<\/p>\n<ul>\n<li>A 10% chance of a one time revaluation of 10 to 15% against the U.S. dollar<\/li>\n<\/ul>\n<ul>\n<li>A 10% chance that nothing happens, and China holds its currency steady<\/li>\n<\/ul>\n<ul>\n<li>The highly unlikely option of China moving to float its currency<\/li>\n<\/ul>\n<p><a href=\"http:\/\/www.businessinsider.com\/morgan-stanley-yuan-revaluation-dollar-2010-4#comments\">Join the conversation about this story &#187;<\/a><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~r\/TheMoneyGame\/~4\/FpeXTKAn6FA\" height=\"1\" width=\"1\"\/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Morgan Stanley is 80% certain that the yuan revaluation is going to happen. In the short term, the currency is destined for a 2-3% appreciation against the dollar. After that, Morgan Stanley also predicts a further gradual appreciation throughout the rest of 2010, which will result is a year net appreciation of 4-5% against the [&hellip;]<\/p>\n","protected":false},"author":1977,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-527651","post","type-post","status-publish","format-standard","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/527651","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/users\/1977"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/comments?post=527651"}],"version-history":[{"count":0,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/527651\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/media?parent=527651"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/categories?post=527651"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/tags?post=527651"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}