Downside risks for the yuan due to......>

CHINA PRESS: Downside risks for the yuan due to capital outflows are

controllable, Economic Information Daily said in a commentary Wednesday.

- However, caution is warranted regarding export, which supported

better-than-expected economic growth last year. Exports are very likely to drag

down GDP growth amid slowing global economic growth and trade frictions between

China and the U.S.: Daily; 

- The yuan could also face depreciation pressure as U.S. treasury yields are

increasing; 

- In the future the PBOC is likely to increase interest rates following the U.S.

Fed, and the central bank's recent decision to reduce restrictions on banks'

deposit rates could be regarded as preparation for a future interest rate hikes,

the newspaper said.