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Is RMB a Safe Haven Currency?

  • Yinggang Zhou,
  • Xin Cheng

摘要

In this Chapter, we examine whether RMB is a safe-haven currency in terms of its effectiveness in hedging financial stress for global equity investors and compare its performance with respect to that of the Japanese Yen (JPY). Results show that the RMB is not yet a safe-haven currency in the full sense, although the RMB demonstrates the potential as a safe-haven currency after the 2008 financial crisis and the 2020 COVID-19 pandemic.