Comment : In order to slow down the economy China might find it convenient to raise the value of the yuan rather then interes rates , it would dampen inflation and and at the same time reduce pressure from abroad on China's exports . All China needs to do so is in place now that political pressure from the US has diminished and that strong interior growth in in place .

China will want to act on the yuan before the debate on the yuan in the US starts again when the next legislative campain starts a few months from now . The only question that remains to be answer is how much will the yuan rise before the end of the summer .

Tec