Yuan Seen Fluctuate Two-Way after Quick Gain: Daily

The market should be prepared for the yuan to swing both ways and should avoid following the "herd" in chasing new highs after the recent spike, the Economic Information Daily said in a commentary on Monday. The yuan has appreciated by more than 2% this month, and exporters' profits will decline if they haven't hedged against exchange rate risks, the newspaper said. While the resilience and potential of the Chinese economy will provide fundamental support for exchange rate stability, the simple "buy low and sell high" principle would help prevent excessive corrections later, the Daily said.