Yuan Bullishness Continues as Global Capital Favors China Assets: Herald

The PBOC's countercyclical move to remove forex dealers' risk reserves has failed to tame the appreciation of the yuan as global capital picked up the pace of acquiring Chinese assets, the 21st Century Business Herald reported citing analysts. The bullishness has been driven by expectations of easing Sino-U.S. tensions and the rapid recovery of the Chinese economy, the newspaper said citing Zhao Yaoting, global market strategist at Invesco Asia Pacific. Many investors also noted the PBOC made no new measures to counter the yuan's rise, the newspaper said citing an unidentified hedge fund manager. Onshore yuan hovered around 6.6800 against the dollar yesterday after touching the highest this year of 6.6784, the Herald said.