Chinese yuan breaks "psychological barrier"

From today's WSJ: Before the start of trading in Shanghai yesterday, the Chinese central bank lowered its daily trading benchmark for the yuan to the point where one U.S. dollar fetched fewer than eight yuan, a psychologically important level that it had maintained as a barrier for weeks. Traders and economists said that by breaching that level, the bank sent a signal that it will allow the yuan to advance at a faster pace...Washington has been pressing China and its neighbors to allow stronger currencies to help cut their huge trade surpluses with the U.S. by making their exports more expensive in dollar terms. Economists say Beijing's move might add momentum to currency appreciation around Asia that could help to unwind global economic imbalances. Read the whole article HERE