Brexit re-ignites RMB fall, China outflows

Fears are rising that Britain’s vote to leave the European Union has sparked another bout of renminbi depreciation and capital outflows from China, on the back of a strengthening dollar. If the trend continues, it would wreak havoc on global markets, said Chi Lo, senior economist for Greater China at BNP Paribas Investment Partners in Hong Kong. A post-Brexit rush by China investors into Hong Kong stocks was one example of money being moved offshore. The Shanghai-Hong Kong Stock…