Welcome to European Tribune. It's gone a bit quiet around here these days, but it's still going.
That is a fantastically stupidly scaled chart.

On the left axis we have a range of 0 to 9 with two currencies priced at around 1 USD and one currency priced around 8 USD. Big waste of space and depressed ranges.

On the right axis we have a range of 85 to 130 for the Yen value of 1USD.

The range of variation of the Yuan exchange rate is about 20%, comparable to the range of variation of the Australian Dollar and the Euro exchange rates. The range of the Yen exchange rate is about 30%, also comparable.

The difference between the Yuan and the other is in the daily volatility. The Yuan's rate is managed whereas the others are not. But the peg is sliding, the exchange rate is definitely not flat as you claim. It just has lower day to day volatility.

En un viejo país ineficiente, algo así como España entre dos guerras civiles, poseer una casa y poca hacienda y memoria ninguna. -- Gil de Biedma

by Migeru (migeru at eurotrib dot com) on Fri Nov 6th, 2009 at 10:42:34 AM EST
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