Taylor says flexible yuan would ease overheating

The US has continued its pressure on China to move to a more flexible exchange rate system, with Treasury Under Secretary John Taylor saying Monday such a switch would help ease the overheating now being seen in the economy.

Speaking to reporters after two days of talks with Chinese banking and foreign exchange officials, Taylor said, according to AFX-ASIA: "I expressed my view that greater flexibility in China's exchange rate would allow for smooth adjustments and prevent the kinds of 'hard l