Morgan Stanley raises RMB's target price, predicts more capital inflow
China will see more capital inflow in 2019, and the price of Chinese yuan will keep increasing for the next two years, Morgan Stanley predicted on Tuesday.
The exchange rate of Chinese yuan against the U.S. dollar will increase to 6.55 percent by the end of this year, and continue to increase to 6.3 percent by the end of 2020.
The capital inflow this year will be way above the market prediction, according to Morgan Stanley. 2019 will see capital inflow of 150 to 225 billion U.S. dollars. And between 2020 and 2030, China will witness an average capital inflow of 200 to 380 billion U.S. dollars each year.
China's A-share market will attract 70 to 125 billion U.S. dollars' worth investment this year, breaking the previous record.