Global investors began 2016 with a keen eye on China and the direction of the renminbi. The first two days of trading this year have dramatically demonstrated why the dance around the currency between the markets and China’s central bank matters.

China’s financial markets are rivalling Wall Street in setting the mood for global investors with changes in the renminbi the main transmission mechanism. As a result, global investors’ interpretation of signals from the People’s Bank of China is influencing assets from oil to US share prices.

Since Monday, the offshore rate has weakened at its fastest pace since the shock August devaluation that rocked world markets. The spread between the tightly controlled onshore rate and its offshore cousin on Tuesday also hit a fresh record — suggesting discord between China and international markets over its exchange rate is rising.