Bullish bets on Chinese yuan rose to two-year highs – Reuters poll

The latest Reuters poll of analysts and fund managers showed on Thursday, investors have turned optimistic on the Asian currencies, as they remain hopeful about the region’s economic rebound from the coronavirus pandemic-led downturn.

Key findings

“Long bets on the Chinese yuan, for example, shot up to their highest since early 2018, a fortnightly poll of 15 respondents showed, with investors consistently raising wagers since turning bullish in July.

Long bets on both South Korea's won and the Malaysian ringgit climbed to more than two-year highs.

Long positions on the Philippine peso the region's top performer so far this year, were also sharply raised to their highest since early 2013.

One currency that investors have remained bearish about is Indonesia's rupiah, an interest rate carry trade favorite, on expectations of further monetary easing this year.”