Does It Matter if The Yuan Weakens Past 7?

The video tutorial discusses the current trends in offshore markets, focusing on key support levels and the impact of trade wars on FX markets. It highlights historical patterns from 2018 and explores potential scenarios for currency movements, including the implications of crossing certain thresholds. The discussion also covers foreign perceptions of China's economy and the potential role of the PBOC in stabilizing the currency. The analysis suggests that while there is concern over rapid movements, there may be undue pessimism from foreign investors.

What are the implications of the selling momentum in offshore markets as mentioned in the text?

How does the text describe the relationship between the trade war and the currency movements?

What historical context is provided regarding the currency movements in 2018?

What factors are mentioned that could influence the pace of currency movement past the 7 level?

What actions might the PBOC take in response to the current market conditions as discussed in the text?