That's a quote, eventually. Their forecast is for USD/CNY to 7 in Q4 2019 and USD/CNH above 7, also in Q4 2019.
Key points from the report containing the forecasts:
- it appeared the Enforcement Mechanism undid the US-China Trade Deal
- But adding Huawei into the mix will make reaching a Deal even more difficult
- Short-terms politics suggest stalemate
- Trump thinks China escalation is a political winner for him in 2020
- China's collective leadership is not willing to do business on Trump's terms; they have partially unleashed nationalism
- We think growth and credit drivers of RMB remain largely as before, but interest differentials are more yuan supportive
- the stalemate stretching out RMB depreciation
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MUFG Bank is Japan's largest bank