We haven’t looked at a currency cross-rates in a while, and I think it’s particularly germane in this gee-what-will-the-trade-war-do environment we’re stuck inside. Anyway, it seems to me the Chinese currency is going to continue to be quite weak about its centuries-old enemy of Japan:
Jumping to the other side of the planet, the Euro has been grinding lower for years against the different colored piece of paper, the U.S. dollar. I suspect this will continue for years to come, as Europe will be in even more pathetic shape than our once-great republic.
Lastly, and most timely, my view is that the dollar will continue to appreciate against the Chinese Yuan. If the trade deal is as big a debacle as I’ve been predicting for months, this should shoot higher, once all the bluster and spin are out of the way.