US EditionGoldman Sachs Calls Chinese Yuan 25% Undervalued
Goldman Sachs projects the yuan will strengthen gradually to 6.85 USD/CNY in 12 months, citing 25% undervaluation and improving external demand, with steady policy support.
- On 11/25/2025, Goldman Sachs rolled forward its USD/CNY forecasts and projects 6.95 in three months, 6.90 in six months, and 6.85 in twelve months, affirming gradual Chinese renminbi appreciation.
- Analysts point to undervaluation and improving external demand as Goldman Sachs argues the yuan remains undervalued alongside stabilising external demand and growth expectations, while the People's Bank of China’s steady daily fixing supports a managed appreciation path.
- Goldman’s frameworks indicate the yuan screens as deeply discounted on GSDEER and GSFEER, estimating about 25% undervaluation with GSDEER fair value near 5.00.
- A steadier renminbi could act as a regional anchor, easing FX volatility across Asia FX markets, while Goldman promotes the yuan as one of its 'highest conviction' FX calls for 2026.
- Policy and trade developments suggest stronger export growth, a widening current-account surplus, and Five-Year Plan approval will sustain appreciation pressures despite risks from domestic growth relapses and trade flow deterioration.
9 Articles
9 Articles
Global investment houses forecast Chinese yuan rising past key 7 mark in 2026
Some investment houses expect the Chinese yuan to strengthen beyond the psychologically critical 7-yuan-per-dollar mark for the first time since 2023 next year, underpinned by narrowing yield differentials with the United States and prospects for easing trade tensions.
How Investors Are Reacting To Goldman Sachs Group (GS) Long-Dated Bond Sales And ETF Expansion Push
In late November and early December 2025, Goldman Sachs Group issued a series of senior fixed-income securities, ranging from zero-coupon notes due 2041 to multiple callable fixed-rate and step-up senior and subordinated notes maturing between 2028 and 2055, while also highlighting its AI-driven performance and capital-return focus following a strong Q3 earnings report. Alongside this funding activity, Goldman Sachs moved to expand its asset an…
Coverage Details
Bias Distribution
- 50% of the sources lean Left, 50% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
