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BoNY sees RMB/USD rate at 7.4 by end 2007

Senior currency strategist Michael Woolfolk believes China is becoming more flexible, while the yen is also poised to strengthen against the greenback.
According to Michael Woolfolk, senior currency strategist at the Bank of New York in New York, the renminbi will appreciate to 7.4 to the US dollar by the end of 2007. He expects the US dollar will continue its moderate decline, helped by an increasingly liberal policy the PeopleÆs Bank of China (PBoC).ôThe broader currency trend in 2007 will be dollar weakness, but a modest weakness,ö says Woolfolk during a trip to Hong Kong. ôOn the other side, what weÆre seeing is a more US-friendl…
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