Analysts: Investors still bullish on yuan holdings

Renminbi holdings in global portfolios will continue to increase this year as investors continue to cash in on China's high-quality growth story, notwithstanding the lingering trade friction, analysts said on Monday.

The trade disputes have roiled the Shanghai and Shenzhen bourses, with the benchmark Shanghai Composite Index losing 4.52 percent last week and extending the losses by 1.21 percent on Monday to close at 2903.71 points. But analysts expect the trend to reverse soon.

Meanwhile, the renminbi also depreciated against the greenback. On Monday, the spot rate of offshore renminbi against the US dollar weakened to 6.90, the lowest since the end of last year. However, the short-term market fluctuations did not sway analysts' confidence in renminbi assets.