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Renminbi spurt revives talk of currency reform

The renminbi has retreated after gaining 0.6% against the dollar in two days earlier in August, damping hopes that faster movement would be sustained in the months to come. But the unusually-abrupt move has revived talk of possible currency policy reform. The most likely shift is a widening of the 0.5% band around the opening dollar spot rate within which the renminbi can trade each day.

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