CNY overview: China’s yuan aligns with our optimistic outlook

Chinese Yuan Shows Strong Performance Against US Dollar in 2026

In recent years, the Chinese yuan has generally maintained a stable position relative to the US dollar, largely due to the People's Bank of China's focus on currency stability, which has kept fluctuations minimal. However, this trend has shifted in 2026. So far this year, the yuan has emerged as a standout performer, appreciating by 2.3% against the US dollar and surpassing most other Asian currencies.

Following the onset of the Iran conflict and up to the present, both the onshore yuan (CNY) and offshore yuan (CNH) are the only currencies in our monitored group to have strengthened against the dollar.