Bank of America (NYSE:BAC) Says Renminbi at Fair Value

Contrary to the assertions from some politicians and academics in America, Bank of America's (NYSE:BAC) T.J. Bond, chief Asia economist at Bank of America, said he sees the renminbi at "close to fair value."

Bond said, “We don’t agree with what academics and politicians in the United States are saying, that the renminbi is significantly undervalued.”

The renminbi is just another name for the yuan, the Chinese currency.

“For the first time in many years, we actually think Asian currencies are roughly fairly valued,” Bond added. “Given the strength of the story: strong growth, rising inflation, we think Asian currencies will continue to appreciate, but as they’ve reached fair values, we don’t actually expect much appreciation against the U.S. dollar.”

That assessment could be wrong based on the additional $600 million in so-called quantitative easing being implemented by the Federal Reserve, which will continue to debase the U.S. dollar