FXstreet.com (London) - USD/CNY is tipped to trade in 6.8280-6.8295 according to DowJones. The Chinese currency, currently pegged by the government as a means to control its rapidly developing economy, trade tightly range bound for just this reason.
After rising over 20% in just three years, the government pegged the currency to control inflation. Analysts generally agree the currency is well undervalued, and that China must move away from its dependency on exports before the inevitable free-float of the currency.
Yuan currently trades at 6.8284/06 versus the dollar, up 19 pips on the day low.