Huatai Securities: RMB breaks 6.8, further appreciation potential unlocked

Golden Ten Data reported on May 11 that Huatai Securities pointed out that on May 7-8 (Thursday-Friday), the offshore RMB/USD exchange rate twice broke above 6.8 for the first time in this round of appreciation, while the onshore RMB is just one step away from 6.8. As the Middle East situation has slightly de-escalated, the RMB exchange rate has returned to an appreciation channel. We believe there are multiple short-term catalysts that will support further strengthening of the RMB. We maintain an annual appreciation forecast of 4-5% for the RMB/USD exchange rate, with a 12-month projected range of 6.4-6.5.