The Chinese currency advanced to its strongest level against the US dollar in three years as global investors look for safer assets amid China’s strong economic rebound and the continuing depreciation of the dollar.
The onshore yuan rose 0.2% on Tuesday to 6.4052 per dollar, strengthening by more than 10% over the past year.
However, analysts say that Chinese policymakers might take measures to control the currency’s appreciation trend as they are struggling to balance the country’s export demand with soaring commodity prices.
