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Standard Chartered Sees 2012 Yuan Gains Slowing to 3%-4%

Standard Chartered Plc forecasts the pace of yuan appreciation will slow to 3 percent to 4 percent in 2012 from around 5.5 percent this year, according to a research note issued by Hong Kong-based economist Stephen Green and Shanghai-based Li Wei today.

The bank also estimates China’s average inflation rate will decline to 3.2 percent next year and has pushed back its forecasts for an increase in interest rates into the first quarter of 2013. The economists previously called for two increases in the second half of next year.

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