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3. Los chinos descubren el gusto de consumir productos del cerdo ibérico. ¿Cómo afecta al tipo...

3. Los chinos descubren el gusto de consumir productos del cerdo ibérico. ¿Cómo afecta al tipo de cambio euro/yuan?

Chinese discover the taste of consuming Iberian pork products. How does it affect the euro/yuan exchange rate?

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Because Chinese consumers will now purchase more Iberian pork products, they will demand more euro. The demand for Euro will increase and this will increase the price of Euro in terms of Yuan. Therefore the euro yuan exchange rate increases which means Euro will appreciate and yuan will experience a relative depreciation.

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