RMB falls 0.12%, bucking upward trend
7 July 2008
The renminbi fell 0.12% to 6.8589 to the US dollar on Friday, the largest drop in a month of steady appreciation, Bloomberg reported. Researchers at the Chinese Academy of Social Sciences were quoted in the China Securities Journal as saying Beijing should "temporarily" allow the yuan to trade freely to deter the speculative investments that are exacerbating inflation. Traders in the forwards market have reduced bets since April on how far the renminbi will rise this year. The current projection is 6.5085 to the dollar in the next 12 months, compared with a projection of 6.2755 on April 7.