China's currency drops to its lowest level in 15 years.

The onshore yuan dropped as much as 0.6 percent to trade at $7.3084 per dollar, which is the lowest level since December 2007 and very near the lower end of the trading range established by the central bank on Tuesday.

The offshore yuan, which is traded more freely than domestic currency outside of mainland China, dropped to 7.3735 against the dollar, the lowest level since clearing institutions in Hong Kong were given permission to open renminbi accounts without restriction in 2010.

Along with other major currencies, the currency of China has suffered as a result of the Federal Reserve's hawkish stance, which has investors flocking to the dollar.

Investors expressed concern that Chinese authorities would maintain zero-Covid lockdowns and other policies that have severely harmed the economy after it was announced over the weekend that Xi had won a third term as party chief. This announcement also showed how Xi had stacked leadership positions with aides and allies.

Despite the revelation of stronger-than-expected growth in the third quarter the same day, the yuan and Chinese stocks listed in Hong Kong both fell on Monday.

The zero-Covid policy of Xi, which continues to place tens of millions of people under rolling lockdowns and close factories, is one of the most urgent causes for concern.

China is the last of the world's major economies to adhere to the plan, and Xi insisted that the country's Covid reaction has been successful in his speech on Saturday to commemorate the conclusion of the Chinese Communist Party Congress.

In addition, China's real estate market, which accounts for more than a quarter of the nation's GDP when construction is included, is experiencing an unparalleled crisis.

After years of rapid expansion fueled by easy access to credit, Xi oversaw an effort to reduce excessive debt.

As a result of the current nationwide decline in real estate sales, many developers are struggling, and some homeowners are refusing to make mortgage payments on incomplete properties.

State Street Global Markets strategist Yuting Shao, meanwhile, told Bloomberg News that "the market reaction is somewhat overdone."

You still need to wait for future plans with more policy details, she said.