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4/6/06

Bloomberg.com: EU Backs China's Gradual Yuan Moves, Splits With U.S.

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EU Backs China's Gradual Yuan Moves, Splits With U.S.

The European Commission backed China's policy of switching to a more flexible exchange-rate system at its own pace, rebuffing U.S. calls for faster steps to boost the yuan, according to a confidential document. The commission, the European Union's Brussels-based economic watchdog, warned that sudden moves to strengthen the Chinese yuan as demanded by some U.S. officials could further weaken the dollar against the euro.

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