The yuan may lose its strength and......>

CHINA PRESS: The yuan may lose its strength and trade about 6.6 against the

dollar, Sheng Songcheng, the People's Bank of China's former statistics chief,

said Saturday at a conference in Shanghai. The Chinese currency closed on Friday

at 6.4851, according to MNI data. The yuan had recently been boosted by the

widening gap between China's market rates and the U.S. Federal Reserve's

benchmark interests rate, by the market's betting on the yuan's appreciation and

on the weakening U.S. dollar index, Sheng argued. The Central Economic Working

Conference last month, attended by China's top decision-makers, emphasized

controlling money supply and maintaining a "reasonable and balanced" yuan

exchange rate, which has also impacted the market, Sheng noted. Sharp movements

in either direction won't benefit the Chinese economy, Sheng said. (Shanghai

Securities News)