Remember Kyle Bass's new Big Short? Shorting the Chinese yuan? Yes, that's after that Japanese debt crisis thing of his didn't work out.
Bass shorted the Chinese yuan and bragged about it. He based it on that same wrong thinking that led him to declare that Japan would have a "debt crisis."
The yuan is now at the highest level against the dollar in three months.
By the way, this may have been indirectly due to Trump and how he is increasingly being viewed as a realistic presidential prospect. And as Matt Franko pointed out, even if he's not elected, his trade policies are gaining traction with Democrats, too.
China may be acting preemptively here in boosting the yuan and trying to avoid Trump's ire or, bringing policies down on that that would result in severe hikes in tariffs.