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China's yuan policy torn between desire for status, economic reality

 TOKYO -- China's sudden devaluation of the yuan, taken in an apparent effort to lift the country's exports, raises the question of why it declared the move openly rather than steering the currency lower in stages.

     The People's Bank of China lowered its daily reference rate against the dollar by about 3.5% over two days Tuesday and Wednesday. Although the central bank announces reference rates for several major currencies at the start of each trading day, including the euro and the yen, the rate via-a-vis the dollar draws the most attention.

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