China’s software giant Tencent fell more than 5% on Friday after the US government announced that it would ban WeChat – a messaging and social media app little used in the United States – along with the video app TikTok. A nearly billion-dollar private equity valuation for TikTok’s US business hangs in the balance, but Tencent’s US exposure is de minimus. That makes Tencent (700 HK) a buying opportunity.

The imperturbable Chinese yuan continues to ignore Washington’s tech war-dance against China. The Chinese instrument has risen against the US dollar along with the trade-weighted dollar index DXY.

More to the point, the cost of hedging the yuan in the offshore market (CNH) is about half that of the Euro or the Japanese yen. The market’s confidence in the Chinese currency is noteworthy, given the ferocity of Washington’s rhetoric against China.

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