China's runaway housing market poses latest challenge for yuan: RBS

Beijing

HERE'S the latest uncertainty facing China's currency: sky-high house prices.

A runaway boom in the largest cities will push investors to look for cheaper alternatives overseas, draining money out of China and putting downward pressure on the yuan in the process, according to analysis by Harrison Hu, chief Greater China economist at Royal Bank of Scotland Group Plc (RBS) in Singapore.