RMB down as hot money controls increase

The renminbi fell against the US dollar for the second straight day Thursday after the government promised to tightly monitor speculative capital inflows, Bloomberg reported. China’s currency dropped 0.11% to 6.9465 against the dollar. Beijing has been eager to discourage "hot" money from entering the market in an effort to fight inflation. While the dollar rose for the fourth straight day against six US trading partners’ currencies, the renminbi’s appreciation against it has been slowing since April, after gaining 4.2% in the first three months of the year.