China's yuan drops to weakest level in 14 years and is on track for its worst annual loss since 1994

The Chinese currency fell to its lowest point against the dollar since 2008 on Wednesday.

The unit has fallen to a level not seen since February 2008, and is on pace for its worst annual loss in 20 years.

The offshore currency dropped to a record low based on data from 2010

The People's Bank of China has consistently placed a strong bias to its currency reference rate, but on Wednesday set it to its smallest margin since September 13, which suggests policymakers may be easing support for the yuan.

Maintaining the stability of the foreign exchange market is the bank's top priority. If you continue to bet, you will lose.

The longest streak on record was set by the central bank of China.

Beijing has tried to maintain accommodative monetary policy as the risks of deflation mounts. China's GDP is expected to slow to 3.4% this year, which would be the lowest rate in over four decades.

The dollar has strengthened to multi-decade highs due to the Federal Reserve's continued rate-hiking path.

A "reverse currency war" has arisen from the dollar's rally because it has not let up. The world's central banks want to strengthen their currency to make imports cheaper.

The risk of a global downturn is increased by these policy maneuvers.

"I believe that a global recession is a real possibility, given that several central banks have moved in the direction of tightening monetary policy," he said. I don't expect monetary policy to change in the near future.