The offshore yuan appreciated past 7.10 per dollar on Thursday, reaching its strongest level in two weeks as investors awaited the release of key economic indicators scheduled tomorrow. Among the forthcoming data, retail sales are expected to decelerate for the fifth consecutive month, marking the longest stretch of slowing consumption growth since the post-COVID recovery began to lose momentum more than four years ago. This data, alongside upcoming figures on housing, industrial production, and unemployment, is likely to intensify concerns about a wider weakening in economic growth. Meanwhile, data showed earlier this week that consumer prices rose 0.2% year-on-year in October, rebounding from the previous month and exceeding expectations. Additionally, producer prices fell 2.1%, the softest decline in fourteen months and signaling a gradual easing of deflationary pressures at the factory gate.
