Currency market eyes Chinese yuan, sees RBI reserve accumulation

The currency market is still fixated on the Chinese yuan, and sees the Reserve Bank of India’s (RBI’s) reserve accumulation as a way to keep the Indian currency weak to preserve export competitiveness. 

China and the United States have softened their stance on trade tensions, but this is nowhere a resolution, say currency dealers. Even as the yuan appreciated in recent times, from 7.18 a dollar to 7.07 now, there is no guarantee that the crisis is over. 

China has agreed to purchase $40-50 billion of US Agriculture products. While both sides have shown flexibility on tariff hikes, there is