In a statement released, according to Bloomberg

  • Mnuchin's comments intensified dollar depreciation
  • His remarks were interpreted by the market as the US favouring a weaker dollar
  • This resulted in fund outflows from the US

USD/TWD fell to a five-year low on the back of Mnuchin's comments yesterday, as traders are reportedly saying that foreign banks and exporters are the major players selling the pair.

Earlier in the day, I talked about the possibility of more central banks and governments joining the currency wars rhetoric. We're starting to see more of it already.