RBC predicts that the USD/CNY exchange rate will rise to 7.55 by the end of the year.

The bank’s analysts state:

• weak economic outlook for China, the economy is still burdened by falling real estate and sluggish consumer spending, with no clear solution to these issues
• the likelihood of a new trade war between the US and China after Trump’s victory
• The gap between US and Chinese 10-year bond yields will widen as the People’s Bank of China is likely to adopt looser monetary policy, while the Federal Reserve may slow interest rate cuts

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Shanghai Composite Update, Soft Start 2025:

This article was written by Eamonn Sheridan at www.forexlive.com.



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