Yuan un­der pres­sure from Fed rate hike

The Sun (Malaysia) - - SUNBIZ -

BEI­JING: A po­ten­tial US in­ter­est rate hike in De­cem­ber will have lim­ited im­pact on the yuan, Peo­ple’s Bank of China (PBOC) chief econ­o­mist Ma Jun told re­porters yes­ter­day.

Ma said the yuan was un­der de­pre­ci­a­tion pres­sure ahead of the ex­pected Fed­eral Re­serve rate hike, but may re­cover when rates are ac­tu­ally raised.

The yuan has re­mained sta­ble against a cur­rency bas­ket in Oc­to­ber de­spite fall­ing against the dol­lar.

Re­cent city-based prop­erty con­trol mea­sures in China will cool prices and de­mand for mort­gages, Ma said, adding that the PBOC will con­sider the pos­si­ble im­pact of mon­e­tary pol­icy on the prop­erty sec­tor.

Ma also said that China’s econ­omy should grow about 6.7% in 2016. – Reuters

Newspapers in English

Newspapers from Malaysia

© PressReader. All rights reserved.