China’s Booming Exports Mean Beijing Can Handle Strong Yuan
- Currency climbs to strongest level since June 2018 this week
- Exporters aided by higher global demand for medical facilities
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China’s ability to keep selling more of its goods abroad means officials will be in no rush to rein in their strongest yuan in more than two years.
The People’s Bank of China in November has refrained from using tools to limit the yuan’s advance, even as the currency heads for the longest run of monthly gains in six years. That’s a reversal from last month, when authorities made it cheaper to bet against the yuan and eased some control over the exchange rate, moves that were interpreted as part of Beijing’s effort to rein in appreciation.