Currency experts are skeptical about sustained yuan strength above the critical 7-per-dollar threshold. Here's why: Chinese manufacturers are already feeling the squeeze, and foreign direct investment continues to disappoint. Any rally beyond this level is likely to fizzle quickly. The math is simple—when the currency gets too strong, exporters struggle to stay competitive. Add sluggish capital inflows into the mix, and you've got headwinds that'll keep the yuan from running too far ahead. Market watchers point out this creates a natural ceiling for appreciation, making near-term yuan weakness a possibility if external conditions don't improve.