Economics
Yuan Forwards Fall as Slowing GDP Growth Damps Appreciation Bets
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China’s yuan forwards declined, halting a three-day gain, before a government report that may show economic growth slowed for a seventh straight quarter.
Economic fundamentals and capital flows don’t support yuan appreciation, the China Securities Journal reported in a commentary today. Gross domestic product increased 7.4 percent in the three months through September from a year earlier, easing from 7.6 percent in the previous period, according to the median estimate in a Bloomberg News survey before data due Oct. 18. Opponents of President Barack Obama contend that China keeps its currency undervalued to boost exports, putting counterparts in the U.S. at a disadvantage.