(Reuters Photo)The United States refrained from designating any trading partner as a currency manipulator in the first foreign-exchange policy report of the Biden administration, even though Switzerland, Taiwan and Vietnam met thresholds for the label. In December, the last report done under President Donald Trump designated Switzerland and Vietnam as manipulators. The new assessments signal the Biden administration is taking a less confrontational approach to international currency policy after the Trump administration’s labelling of China and other countries as manipulators proved ineffective and spurred concerns of politicisation. Those banks can act in currency markets with official guidance due to close relationships with China’s central bank. Taiwan’s central bank has acknowledged intervening in foreign exchange markets to pare gains by its currency against the US dollar.

Source: Bangkok Post April 16, 2021 14:05 UTC