Bernanke says world better with flexible yuan

Federal Reserve chairman Ben Bernanke said on Monday 12 June both China and the world economy would be better off if China allowed the value of its yuan to be determined by a more flexible, market-determined system.

Replying to a question on China's policy of keeping the yuan closely linked to the U.S. dollar, Bernanke told business students that a more flexible exchange rate system would allow China to adopt a more independent monetary policy.

"China itself would be well served by moving towar