China Devaluation Hits Markets Across Asia and Europe as Exposure to Chinese Market Sours

China’s second devaluation in as many days, this time by 1.6%, hits currency and equity markets worldwide. The trouble is compounded by weaker economic figures from the Asian giant. The worst hit are companies with exposure to the Chinese market. Miners take the brunt once again, because China needs fewer resources. Luxury brands like Britain’s Burberry are also hit hard, but so are automakers, which both manufacture and sell in China. Daimler and Peugeot are two of the worst hit. Consumer products group Reckitt & Benckiser is told to license the K-Y personal lubricants brand it bought from Johnson & Johnson to a competitor. That’s because the UK regulator fears that in combination with its Durex brands it would dominate the market and push up prices.