SHANGHAI/SINGAPORE : Foreign investors were net purchasers of onshore yuan bonds in June, while expectations in China's foreign exchange market remain stable and cross-border capital flows are basically balanced, a state media commentary said late Wednesday.The remarks by Financial News, a publication bac
SHANGHAI/SINGAPORE : Foreign investors were net purchasers of onshore yuan bonds in June, while expectations in China's foreign exchange market remain stable and cross-border capital flows are basically balanced, a state media commentary said late Wednesday.
The yuan is one of the worst-performing Asian currencies this year, knocked nearly 5 per cent lower against the dollar by a slowdown in China's economy and widening yield differentials with the United States. "China's economic recovery will continue to improve, and policies will further stimulate the vitality of the real economy. Accordingly, the Federal Reserve's interest rate hike cycle is drawing to a close, the dollar's strength is less sustainable and spillover effects are expected to diminish," it said, adding that yuan-denominated assets remained attractive.
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