Yuan Gain to Slow in ‘11, Top Forecasters Say: China Credit
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The yuan’s appreciation may slow this year after the currency strengthened beyond 6.6 per dollar for the first time in 17 years, as China seeks to stem inflows that may fuel inflation, the most-accurate forecasters for 2010 said.
The yuan will advance 4.6 percent to 6.3 per dollar, after climbing 3.6 percent in just over six months, said Yen Ping Ho, the head of Asian foreign-exchange strategy for JPMorgan Chase & Co. in Singapore, whose 6.58 forecast was closest to the Dec. 31 close among 21 analysts surveyed by Bloomberg a year ago. ING Groep NV and HSBC Holdings Plc, whose predictions were the next most accurate, say the yuan will advance 3.8 percent from its year-end rate to 6.35.