The offshore yuan held near 6.72 per dollar on Thursday, stabilizing after the previous session’s pullback, as fresh industrial profit data reinforced expectations that Beijing may roll out additional policy measures to support growth.
Industrial profits in China rose 17.6% year-on-year to CNY 4.58 trillion in the first seven months of 2026, slowing from an 18.7% gain in the January–June period. The moderation underscores mounting pressure on corporate profitability amid weak domestic demand and diminishing benefits from earlier oil price increases.
These trends have heightened concerns about the broader economic outlook, following July data that showed industrial output, retail sales, and fixed-asset investment all fell short of expectations. In this context, investors are closely monitoring the meeting of the National People’s Congress Standing Committee, which concludes on August 28, for any signs of additional policy support aimed at shoring up growth.
