Reuters survey on a poll of over 60 foreign exchange strategists, expectations for Asian currencies in 2018
- The yuan is forecast to fall 1.7% against the USD by end-2018
More detail via Reuters:
- China's yuan is forecast to depreciate slightly to 6.60 per dollar in six months and to 6.60 by end-2018
- "During the recent phase of U.S. dollar weakness, the government has allowed a strong appreciation against the dollar, while the CNY has moved more or less sideways against the currency basket since April," said Ulrich Leuchtmann, research head at Commerzbank
- "The volatility in USD/CNY is ... likely to remain higher in the future. The government is likely to react more sensitively to a CNY devaluation than to an appreciation, in order to prevent a capital flight from flaring up again after it was only stopped by extensive controls on capital movements in 2015 and 2016," Leuchtmann said