CNY: PBoC seen resisting strong appreciation – Commerzbank

Commerzbank economists Dr. Henry Hao and Volkmar Baur say China’s industrial profits surged early in 2026, led by AI-related electronics, but this strength predates the recent energy shock. Commerzbank economists Dr. Henry Hao and Volkmar Baur say China’s industrial profits surged early in 2026, led by AI-related electronics, but this strength predates the recent energy shock. With higher… Commerzbank economists Dr. Henry Hao and Volkmar Baur say China’s industrial profits surged early in 2026, led by AI-related electronics, but this strength predates the recent energy shock. Commerzbank economists Dr. Henry Hao and Volkmar Baur say China’s industrial profits surged early in 2026, led by AI-related electronics, but this strength predates the recent energy shock. With higher Oil prices now squeezing downstream margins and ending producer-price deflation via cost-push inflation, they argue the PBoC is unlikely to allow a strong CNY appreciation that could further hurt exporters.Energy shock complicates currency stance"This energy shock could act as a… For traders, the practical value is less about the headline alone and more about how it changes context, sentiment and the quality of the next decision. Watch follow-through, not just the first reaction: liquidity, volatility and confirmation across related assets usually tell the real story.