Weaker industrial profit growth and softening consumption in China weigh on the yuan, analysts say.
China’s industrial profit growth slowed to 21.1% year-on-year in May, down from stronger prior months, as consumption and investment softened. The deceleration reflects broader economic headwinds, pressuring the yuan against the US dollar.
Analysts note that weaker domestic demand and investment trends have contributed to the currency’s decline. The yuan’s performance contrasts with earlier resilience amid global monetary tightening and trade uncertainties.
No immediate market reaction was specified, but the slowdown underscores concerns over China’s economic momentum and its impact on regional currencies.