The yuan may strengthen 1.9% against the dollar by the end of the first quarter and by 5% by the...

|By:, SA News Editor

The yuan may strengthen 1.9% against the dollar by the end of the first quarter and by 5% by the end of next year, according to Bank of America analysis that says such a revaluation would be "politically acceptable" for China. The report cites higher commodity prices and "liquidity trends" boosting inflation.