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Wednesday, March 19, 2014

The yuan was back below 6.20 to the dollar.

At the time of writing after briefly breaching a level that Morgan Stanley has called a "danger zone." That's because a sustained period under 6.20 could cause losses on billions of dollars of hedging products that Chinese companies have taken out as part of a bet on the renminbi's appreciation. The problem is that the yuan has been going the other way lately.

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