economy - 'Forget it' China tells US treasury specialists

China will not revalue its currency the central bank told when US officials moved in to 'help' the country to rethink its monetary policies, writes the Wall Street Journal.
Receiving the officials of the US Treasury department was the main concession China did during the past months as the US wanted a revaluation of the renminbi, although all specialists wondered why that was.
The meeting today raised again expectations, but apart from slight adjustments a really effective change - says an 20 percent devaluation - would be unthinkable. While the US trade has prospered because of the fall of the US dollar, the peg between the US dollar and the Chinese Renminbi made China a second beneficiary of this fall. At the end of the 1990s, as the US dollar and the Renminbi went up together, China also refused to change its policy, although the development then hurted China's economy considerably.