The consensus is that China's June announcement on renminbi reform changed very little and was more of a symbolic move to relieve international pressure. But any move by China -- particularly one with such major global implications -- can hardly fail to affect the markets, particularly on a long-term view.
On June 19, China announced a shift in its exchange-rate regime, moving from a fixed peg at 6.83 renminbi to the dollar back to the crawling peg that had been in place from July 2005 to September 2008.
The recent announcement has been widely anticipated and the immediate impact on markets has been minimal, says Western Asset Management in a recent client note....
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