"Drop peg" IMF tells China

Just days before the G7 meeting of rich countries in Washington DC, the International Monetary Fund called on China to drop the yuan currency peg to the US dollar to cool inflation and harmonize China with the global economy. The IMF, which just issued a glowing outlook for the global economy, told China that now was the time to make such a move. "From both an external and a domestic perspective, the strong regional and global recovery, combined with buoyant export growth, would seem to provide near-ideal conditions," the IMF said.