Small Risk of Significant Yuan Depreciation: Journal

The yuan may experience a period of adjustments as China-U.S. growth rates narrow, as the U.S. pursues rate hikes and as the U.S. dollar continues to gain strength, the China Securities Journal said citing industry experts. The Chinese currency is unlikely to experience significant depreciation, as China’s exports will still be resilient enough to support the currency and its economy continues to recover, it said. After nearly hitting 6.2 against the dollar, the Chinese currency has slowly backed down from 6.3, as China’s loosening policies contrast with the expected U.S. tightening.