Yuan Touches 19-Year High after PBOC Raises Fixing for a Third Day

The yuan rose, touching a 19-year high, after the central bank raised the currency’s fixing for a third day amid optimism a recovery in the world’s second-largest economy is quickening.

Gross domestic product will probably increase more than 8 percent in 2013, China Securities Journal reported today, citing unidentified analysts. That’s higher than the 7.7 percent median estimate in a Bloomberg survey for growth in 2012. China’s economic recovery is a sign global demand will improve this year, Australian Treasurer Wayne Swan said yesterday before a visit to Hong Kong. The yuan has rallied 0.27 percent against the dollar in 2013, according to data compiled by Bloomberg.

“The appreciation trend will continue,” said Suan Teck Kin, an economist at United Overseas Bank Ltd. in Singapore. “We have moved past the stage of the worst in terms of economic growth and the question is about how fast it could expand.”

via Bloomberg

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