Goldman Sachs upgraded its onshore USD/CNY forecasts to 6.80 (3‑mo), 6.70 (6‑mo) and 6.50 (12‑mo), tighter than prior 6.85/6.80/6.70.
Goldman estimates the yuan is over 20% undervalued versus the dollar, citing strong export competitiveness and large external surplus.
Official data showed Chinese exports rose 14.1% in April, driven by semiconductor equipment demand, supporting the yuan’s upside case.
The bank warned higher energy prices from Iran conflict and weaker partner growth could pressure the trade balance short‑term.