SINGAPORE: The yuan fell and currencies across Asia lost ground on the dollar after Reuters reported that China was considering allowing a weaker currency next year to weather higher tariffs.
China's currency fell around 0.3 per cent to 7.2803 per dollar. The Korean won also dipped as did the China-sensitive Australian and New Zealand dollars. The Australian dollar briefly touched a one-year low of US$0.6341.
China's top leaders and policymakers are considering allowing the yuan to weaken as they brace for higher trade tariffs under a second Donald Trump presidency in the United States, Reuters reported citing people familiar with the matter.