If the Yuan is included in the SDR basket I would have thought it would have to do so as an independent entity .... meaning it would have to unpeg from the $US. If it remained pegged it would only be a proxy for the $US and duplicate the weighting of the $US in the basket.
The long-running speculation about a free floating value of the Yuan is it would significantly depreciate against the $US. A suddenly lower Yuan will throw international markets into a very volatile state imo. My guess is the Nikkei and the Dow would take a hit but the ASX would probably rise.
A lower Yuan would help China regarding its high debt and export deflation to the current band of money printers. The cost of holding physical gold would be even lower than it already is. This is timed for late this year and, imo, it is a big enough trigger to finally bring gold back into the limelight.
