Millions of people are locked down in China because of the Covid-19 virus, nearly three years after it was first introduced.

Most of the downtown areas were locked down for a week. It is the biggest city to be shut down in the last year.

The measures are justified because saving lives is more important than all the other things. China is becoming increasingly isolated from the rest of the world and economists are not optimistic about the world's No. 2 economy any time soon.

There are local Covid-19 cases.

The National Health Commission of China.

People who live in locked down areas need to stay at home and get tested daily. Those living outside of high risk areas are only allowed to go out for two hours on the other days.

CH: Lack Of Tourists Aftr Earthquake At Pandas Breeding Center in Chengdu
A panda sleeps on a branch in Chengdu in June.

If you live in a place where things have returned to normal and people don't talk about Covid anymore, spare a thought for the poor people in Chengdu who are still braving through some of the harsher social-distancing measures known to man.

Yuan’s Path to 7

Despite the government's attempts to stem the currency's slide, the yuan is not going to weaken beyond 7 to the dollar. It could cause trouble in emerging markets.

The minimum level of foreign exchange deposits that banks need to hold has been relaxed by the People's Bank of China. Didn't do anything. The central bank set a strong fixing for the exchange rate. The currency weakened.

Hong Kong Dollar, Chinese Yuan and US Dollar Banknotes As Currency Peg Intervention From HKMA Continues Into Third Day
Chinese one-hundred yuan banknotes.

Although the Chinese currency is under pressure due to Covid lockdowns in major cities and stress in the property sector, all Asian currencies have been feeling the pinch from the surging dollar. Beijing is preparing for a twice-a-decade party shuffle next month and the depreciation comes at a sensitive time.

Round Tripping

Unless mainland Chinese companies invest in Hong Kong to bolster national economic statistics, it's an inalienable part of China.

The growth of foreign direct investment into China in the first seven months of the year is explained by the practice of round-tripping.

Hong Kong received three quarters of the foreign direct investment last year.

The ministry of commerce has this information.

Taiwan Trips

US lawmakers continued to go to Taiwan despite warnings from China.

A delegation from the House of Representatives arrived in Taiwan this week as part of a larger trip. The number of members of Congress who have traveled to Taiwan this year is the most in at least four years. The most controversial visit was made by Nancy Pelosi in August, which caused China to display military might near Taiwan, which is governed independently but is considered by China to be a rebel province.

American lawmakers are in Taiwan at a fast pace.

The Taiwanese Foreign Ministry, Taiwanese President's Office, American Institute in Taiwan are included in the data.

Bipartisan support for Taiwan is high as US politicians look to demonstrate their resolve in the face of what they see as China's growing regional ambitions.

Jake Sullivan, the US national security advisor, warned this week that a Chinese invasion of Taiwan is still a threat, despite Chinese claims to the contrary.

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