China has announced that it is revaluing the yuan but keeping it fixed, this time to a basket of currencies, rather than the dollar. Rates are expected to go from 8.27 or so now to the $1 to about 8.11. If so, it'd be a very modest move.

I don't think China or Malaysia have yet announced what the basket is. As luck would have it, I'm in Malaysia now, and it looks like a bad day for changing money, as moneychangers also seem very uncertain and are quoting rates like 3.4-3.6 (vs. a stable 3.75-3.80 for several years). I hope any credit-card charges or ATMs going through today get better rates than that.

China has been under pressure from the U.S. to revalue the yuan and I think they were expecting something more like 10%, which doesn't appear to have happened. Would expect any move in the yuan to be matched almost percent for percent onthe ringgit, baht, Singapore dollar and, to a lesser extent, the peso and rupiah. Could make Southeast Asia less of a bargain.

Although any devaluation hurts, even if there is a 10% move, SE Asia would remain a bargain to USD holders relative to what's been happening in Europe. And, it is not like we didn't know this was going to happen sooner or later.

So far, the whole Yuan and Ringgit thing has been a snoozer. The Yuan actually fell on the first day of trading after the +2.1% revaluation. And the Ringgit? It barely moved... +0.5%. I think so many ppl were anticipating the Yuan unpeg that when it finally did, it seemed like the whole world had already prepared for it, factored it in, and the traders/speculators were ambivalent.

There may well be a gradual appreciation in the near future. Or even a depreciation. Anything is possible. The trading bands are +/- not just +. Anyone betting either way might just win/lose big

Although, a property investment in China/Malaysia looks good right about now