Fair Value Model Highlights Currency Risks From Trade War

(Bloomberg) -- Go inside the global economy with Stephanie Flanders in her new podcast, Stephanomics. Subscribe via Pocket Cast or iTunes.

Fair Value Model Highlights Currency Risks From Trade War

With the U.S. raising tariffs on $200 billion in Chinese goods to 25%, and China threatening retaliation, which currencies are most exposed? China’s yuan -- for obvious reasons -- is at the top of Bloomberg Economics’ list of most over-valued relative to economic fundamentals. It’s followed by Thailand’s baht and and Philippine peso. While those two countries are not in the most exposed group, they still have a chunk of GDP tied up with U.S.-China trade.

©2019 Bloomberg L.P.