🏛 Central Banks & Macro mixed · 6–18 months
A what‑if from the future

What if PBOC widens the yuan trading band toward a freer float?

A step toward market-determined FX widens the daily band, increasing two-way volatility; the reform signal is structurally positive but near-term unsettling for EM-Asia carry and currencies.

22%
our model probability
over 6–18 months
prediction markets — wisdom of the crowd
loading live odds…
Empirically anchored 22% · 90% range 12–33% · 40 analogues · measured class china_growth 98% in 18 mo · 3% held back for the unknown
how we built this number — every step
Measured class rate — china_growth ≈2.5597/yr → 98% in 18 mo98%
Analyst prior · editorial share 25% of the class24%
Pooled · weight 87%23%
Crowd — no liquid market
Reserve 3% · no extremizing (×1.0)23%
Published22%

The class rate is measured from our dated, sourced event library (decade-normalized Poisson — the full table is public at base_rates.json). The variant’s share within its class is the analyst’s editorial call, published so you can audit it. A wider range means thinner precedent. Full recipe: methodology · scored at Reality Check.

The butterfly cascade

How this trigger trickles across markets, left → right — the root shock, its first‑order moves, then the ripple effects. Drag any node; tap a market for its real price history.

Resolution timeline — how this probability is moving

Our model's odds (gold) over time vs the crowd's (Polymarket, blue), from the past toward the 6–18 months horizon. Each dot is a real macro event that nudged the probability — green pushed it up, red pushed it down. Tap a dot for the source. The gold path is an illustrative reconstruction anchored to today's estimate — real dated events, not a live re-estimate history.

loading the timeline…

What it would mean

If this plays out, it is a mixed shock. A step toward market-determined FX widens the daily band, increasing two-way volatility; the reform signal is structurally positive but near-term unsettling for EM-Asia carry and currencies. The trigger decomposes into signed root‑shocks — EM currencies ▼ · FX carry appetite ▼ · China stimulus ▲ · Risk appetite ▲ — which propagate through our causal graph to the markets below.

If it happens — the markets it would move

Biggest moves first. Projected moves are cascade-model priors; hist A–B% = what comparable past events actually did (measured abnormal returns), and model prior · unmeasured marks markets with no analogue backing yet. Tap any market for its price history.

MarketClassProjected move
1Solana SOLon Hyperliquid 📈 chartCrypto▲ +0.3%
hist -11.1–+2.62%
2Turkish lira TRY 📈 chartFX▼ -0.3%
hist -4.16–+0.9%
3Hyperliquid (HYPE) HYPEon HyperliquidCrypto▲ +0.3%
model prior · unmeasured
4Indian rupee INR 📈 chartFX▼ -0.3%
hist -1.07–+0.19%
5MicroStrategy MSTRon Hyperliquid 📈 chartEquity▲ +0.3%
hist -3.76–+1.7%
6Ether ETHon Hyperliquid 📈 chartCrypto▲ +0.2%
hist -12.06–+2.29%
7Nasdaq 100 NDXon Hyperliquid 📈 chartIndex▲ +0.2%
hist +0.07–+0.16%
8Bitcoin BTCon Hyperliquid 📈 chartCrypto▲ +0.2%
hist -4.28–+1.71%
9Tech sector XLK 📈 chartEquity▲ +0.1%
hist -0.11–+0.46%
10Freeport (copper) FCX 📈 chartEquity▲ +0.2%
hist -2.43–+1.1%

Probable recommendation

If the scenario above plays out, the probable cross‑asset positioning → a scenario‑conditional read, not personalized investment advice
Short
For a common-man portfolio: Mixed for a typical portfolio — the move is more about rotation than direction. Favour the winners over the losers below rather than net exposure.
Also moves (not yet on Hyperliquid): Turkish lira -0.3% · Indian rupee -0.3% · Tech sector +0.1% · Freeport (copper) +0.2%

Historical precedent — what analogous events actually did

Across 40 analogous events (overlap‑weighted), as abnormal returns — market beta stripped, so it's the event's own effect, not the market backdrop. Shown at 20 days (persistent) and 5 days (immediate); ↺ fades = the two horizons disagree. Confidence = consistency × sample × significance.

August 24, 2015 ETF flash crash 2015-08 Thai baht float 1997-07 Platinum hits an 11-year high on Chinese jewelry demand and deficit 2025-06 China retaliates to Liberation Day: 34% tariffs + rare-earth controls 2025-04 ASML bookings-miss crash 2024-10 Nikkei 225 record single-day rebound 2024-08 Nikkei 225 worst single-day crash since 1987 2024-08 Mexico's Sheinbaum landslide + supermajority scare 2024-06 Wagner Group mutiny against the Kremlin 2023-06 Turkish lira hits record low after Erdogan re-election 2023-05 Offshore yuan hits a record low 2022-11 China fires ballistic missiles into Japan's EEZ during Taiwan drills 2022-08 Alibaba upsizes buyback to record $25 billion 2022-03 Kaisa Group offshore default 2021-12 Turkish lira record low on rate cuts 2021-11 Evergrande debt crisis - global selloff 2021-09 Didi removed from China app stores after NYSE IPO 2021-07 Bitcoin May 2021 crash 2021-05 Turkey fires central-bank governor Agbal, sparking lira plunge 2021-03 Chinese yuan breaks 7 per dollar; US names China manipulator 2019-08 Apple cuts revenue guidance on China weakness 2019-01 Turkish lira crash 2018-08 Jacob Zuma resigns as president 2018-02 Pravin Gordhan fired in midnight cabinet reshuffle 2017-03 Mexican peso crash on Trump 2016 win 2016-11 China stock-market circuit-breaker fiasco 2016-01 Shanghai A-share bubble peak / crash begins 2015-06 Russian ruble 'Black Tuesday' 2014-12 Russia annexation crisis: Moscow market plunge 2014-03 SNB imposes EUR/CHF 1.20 floor 2011-09 EU/IMF EUR750bn rescue weekend 2010-05 2008 global rice crisis: Thai benchmark tops $1,000/ton 2008-04 China revalues the yuan and ends its hard dollar peg 2005-07 Turkey lets the lira float 2001-02 Russia GKO default and ruble moratorium 1998-08 HKMA intervenes in equities to repel a currency double-play 1998-08 October 27, 1997 mini-crash 1997-10 Hong Kong defends the peg with sky-high HIBOR 1997-10 Philippines peso float 1997-07 Mexico $50bn international rescue package 1995-01
AssetHistory saysAbnormal (20d · 5d)HitnConfidencevs cascade
SOL SOLSHORT-9.7% · 5d -16.0%76%17 0.43⚠ differs
ETH ETHSHORT-10.2% · 5d -9.9%71%21 0.34⚠ differs
TRY TRYSHORT-3.5% · 5d -0.2%66%32 0.31✓ matches cascade
INR INRSHORT-0.8% · 5d -0.2%65%32 0.27✓ matches cascade
High-yield credit HYGSHORT-0.3% · 5d +0.1% ↺ fades67%31 0.24·
Volatility VIXSHORT-3.5% · 5d -1.3%58%40 0.14·
Bitcoin BTCSHORT-4.1% · 5d -4.0%58%27 0.13⚠ differs
MSTR MSTRSHORT-3.7% · 5d -5.5%56%35 0.10⚠ differs
FCX FCXSHORT-2.4% · 5d -2.3%56%39 0.10⚠ differs
US dollar DXYLONG+0.4% · 5d +0.2%56%40 0.10·
XLK XLKLONG+0.4% · 5d -0.5% ↺ fades55%33 0.08✓ matches cascade
NDX NDXLONG+0.0% · 5d -0.7% ↺ fades43%40 0.00✓ matches cascade
Gold XAUSHORT-0.7% · 5d -0.7%49%33 0.00·
10y yield DGS10SHORT-4bp · 5d -1bp49%40 0.00·

Methodology. Probability and impact are anchored to history and scored against what actually happens — wins and losses, in public, at Reality Check. Crowd odds live from Polymarket & Kalshi. By Vikas Singh, Quantitative Strategist. Updated 2026-07-03.