US dollar may weaken past 7 against the Chinese yuan in the mid-term: Strategist

Joseph Capurso of Commonwealth Bank says the Chinese yuan strength is driven by signs that the country's economy is recovering. But for the yuan to strengthen further, he says a stronger recovery is needed in both China and in global markets. As the global economy recovers, he expects the U.S. dollar to weaken which may pull the currency below 7 against the yuan.