China's yuan fell Friday to its lowest level this year against the dollar following President Donald Trump's threat of new tariffs on Chinese goods, coming close to breaking the politically sensitive level of seven to the U.S. currency. The U.S. Treasury Department declined in May to label China a currency manipulator but said it was closely watching Beijing. Trump's tariff hikes in a fight over China's trade surplus and technology ambitions have put downward pressure on the yuan by fueling fears economic growth might weaken.
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