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8 Jan 2015
CNY to appreciate vs USD in coming years - RBS
FXStreet (Bali) - RBS believes that China’s exchange rate will appreciate trend-wise against the US dollar in the coming years.
Key Quotes
"We revisit our forecast for the CNY in light of recent developments, especially the USD strength."
"We still think that China’s exchange rate will appreciate trend-wise against the US dollar and other developed countries’ currencies in the coming years. But there are caveats, including the strength of the US dollar."
"We discuss our baseline projection for the CNY in 2015 on the basis of our assessment of likely FX market pressures and policy considerations."
"On balance, we do not see much room for a significant movement either way in 2015, especially not in Q1."
"Thus we now expect the CNY to remain broadly unchanged in Q1 and, to subsequently strengthen moderately for the rest of 2015, to 6.1 by year-end."
Key Quotes
"We revisit our forecast for the CNY in light of recent developments, especially the USD strength."
"We still think that China’s exchange rate will appreciate trend-wise against the US dollar and other developed countries’ currencies in the coming years. But there are caveats, including the strength of the US dollar."
"We discuss our baseline projection for the CNY in 2015 on the basis of our assessment of likely FX market pressures and policy considerations."
"On balance, we do not see much room for a significant movement either way in 2015, especially not in Q1."
"Thus we now expect the CNY to remain broadly unchanged in Q1 and, to subsequently strengthen moderately for the rest of 2015, to 6.1 by year-end."